Palit cuts Nvidia GPU orders

Graphics card manufacturer Palit Microsystems recently cut orders for about 400,000 Nvidia GPUs for first quarter of 2009 due to high inventory levels, according to industry sources. Inventory pile-up at graphics card makers from the second half of 2008 is expected to affect Nvidia's fiscal first quarter 2009 performance.

Nvidia has lowered its fourth-quarter (ended January 25, 2009) revenue guidance to a 40-50% sequential decline due to inventory reductions by its channel partners in the global PC supply chain.