Monday, August 18, 2008

The Crux of the Biscuit...

A great analysis of the current crisis facing Nvidia, maker of a faulty GPU found in many Dell Inspiron computers (and a host of other laptops from other computer manufacturers) can be found in a great article by Charlie Demerjian.

In any case, since Dell came out with a BIOS that 'fixes' the non-existent problem almost two weeks before the disclosure in the Nvidia 8-K on July 2. They knew HP laptops were bad, they knew Dells were bad, and we know the chips are all bad, but NV keeps stonewalling and spinning very different stories to analysts. They haven't mentioned Apple and Asus yet, but if you look at their forums, they both seem to have a high rate of early Nvidia GPU related failures.

That brings us to the next problem, namely full and fair disclosure. Dell and HP know the extent of this, as presumably do other OEMs. Is it collusion when they do not disclose an event likely to be material to both them and Nvidia? Not a peep from Apple and the others yet though. Apple never admits to even crippling failures of its products, it might damage its halo. When the first lawsuit hits, the documentation of who knew what, when is going to be REALLY interesting.

So my point of blogging this is simple... is this further proof of Dell (and the American Business Model) being broken and corrupt? Is it more "Freedom From Business as Usual"?

Presumably Dell was aware of the problem some time prior to the bios fix they announced and if they continued to sell computers with this chipset after that date, when they knew it was faulty, it would be a sad indictment of Dells' business practices.

Even the "fix" of the bios is a joke, it doesn't fix anything it just makes the fan run more... Way to Go Dell!

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