News X-Bit labs reports :

ATI Technologies, a major supplier of graphics and multimedia processors for personal computers and multimedia applications who recently announced plans to accelerate its acquisitions, may be targeting to buy a minor player of the graphics chip market, XGI Technologies.

Chinese-language web-site HardSpell has reported that ATI will shortly announce acquisition of XGI, a Taiwan-based graphics chip designer, which was a spin-off from Silicon Integrated Systems originally. The web-site claims that the acquisition is to be announced Friday, the 3rd of March. Some other unofficial reports also claim about the intention of ATI to take over XGI.

Source : http://www.xbitlabs.com/news/video/display/20060302053643.html