ATI’s Intel Chipset Sales Tumble Dramatically

ATI Technologies, a leading developer of graphics technologies and core-logic solutions that is to be acquired by Advanced Micro Devices, said it would miss its revenue estimates by up to $140 million as a result of lower than expected sales of chipsets for processors by Intel Corp., the world’s largest chipmaker.

ATI Technologies expected revenues for the fourth quarter of fiscal 2006 to be between $620 million and $660 million. However, the company on Wednesday announced that consolidated revenue for the fourth quarter of fiscal 2006 is currently expected to be approximately $520 million.