Caustic Graphics Ray Tracing Acceleration Technology
@ 2009/04/20James was quick to iterate to me on a few occasions that they initially had no desire to build hardware but as they developed their unique software algorithms it became apparent that there simply was not a processor on the market today, either in GPU or CPU form, that did exactly what they needed. These new algorithms attempt to find order in what we all see as the randomness of ray tracing and they attempt to drastically increase the memory locality for efficiency reasons and the founders decided that required a custom co-processor. But they seem to have played the game intelligently by continuing to utilize hardware where it is most efficient: the Caustic card will handle only the operations that modern components are inefficient at yet they still leverage the power of the GPU for pure shading horsepower.
Caustic is planning to release ASIC based parts to replace their currently FPGA card... at least according to them it will net a 14x performance increase. Probably not enough to survive Larrabee though.