Nvidia sued for violations of federal securities law

a lot of alleges in this story, whats happening charlie? 

scared?

btw, J/K good work.

the HP and Dell links at the bottom of the article went 404'ed.

Well, this doesn't seem to bode too well. 

Although I dislike nVdia's "Second coming of Christ" attitude, I don't want them out of business.

They do deserve some chastisement, but I hope they survive this whole ordeal, relatively unscathed. Hopefully they learn some humility in the process also.

for the course. I rank most of these things in the gutter with "coupon suits" that lawyers come up with just to get paid. You'd see a LOT LESS of these nuisance suits if the only money the lawyers were to get would be maxed out at 33% of the top 2 defendants added together.

Just another day in the American Legal system. It's imperfect but, even with nuisance suits, it's better than many.

FYI for Charlie and others here:

In 6-36 months look for Nvidia to be paying these nozzles a few million to go away. Signed off by a judge and the average investor, or even the above average investor, get's jack and sh*t. Anyone who's been reading the stock papers for more than 5 years has seen this happen more than a few times.

Dear NVidia.

We all know that 3 types of accountant exist. Creative at making money ($10 suddenly becomes $20) and creative at making money disappear ($10 suddenly becomes $5). The thrid type is the now extinct honest account.

Please in future send the right accountants.




its finally happened, bout time too, looks like the green team fanboys will have to eat their words soon and stop flaming charlie (wipe that smug look of ya face charlie) what's that charlie, did i hear you say told ya so ?? 

let battle commence !! this is gonna be a punch up thats worth watching lol O_O

Yet another lawsuit originating in CA..... I'm stunned. Let me guess an "investor" who thinks stocks only should go up and it is someone else's fault if the price goes down.

Hard to say how much of the stock price is down because of the current part issues vs just the overall stock market and biz conditions at Nvidia vs ATI competition (I suspect more of it has to do with biz conditions and ATI/AMD competitiveness). I'm going to go out on a limb and assume this lawsuit alleges ALL OF THE STOCK PRICE DECLINE is due to the mobile parts issues and probably sprinkled with a little pain and suffering for good measure? 

Welcome to America, where every one is accountable except the individual. Regardless of the outcome, people like this should not be investing in individual stocks. If you are buying ANY stock based on mgmt's outlook, you are a fool and deserve to be soon parted with your money.

Charlie, I know you have a hatred for Nvidia, but you can't condone lawsuits like these just to advance your hatred of Nvidia?

You site a 1/2 Billion dollar charge. Last I checked it was ONE 196mil charge and they think they were quite conservative (meaning they believe they are OVER-estimating the cost).

How did you get to 1/2 billion? Can you give us a link to Nvidia writing off another 300mil? People sue for hot coffee...LOL. Doesn't mean squat. Let me know when you can prove something with someone other than "inside sources tell me"...blah blah...Just another case of someone thinking they can get a bit of cash from a company still actually making money...LOL (AMD comes to mind). Rambus thinks the same thing. You'll have to forgive me if I reserve judgement until the actual EVIDENCE is in, instead of believing your unprovable drivel. Heck 1/2 of the 196mil was probably already squirreled away for this kind of case exactly...ROFL.

I can see the case now. "Your honor, they have a fix that makes it louder so I'm suing."..."Well sir, does the fix work? Did they tell you it would be quiet to begin with? Or that your fan would never run?"..."ummm....."...."Nice try sir, don't let the door hit you in the A$$ on the way out"...LOL

Rocco has become a lawyer? Care to comment Charlie?

so they had a monopoly on the graphics card industry for such a while they decided to pass off flawed chips to consumers. 

Lemme tell ya somfin... You never hear about other companies chips frying and them buying a new one. The geforces dont have along lifetime. yeah they run great when while they run but the fricken meltdown regardless of cpuspeed. somfin goes wrong with alot of the 8 and 9s out there.


Time will show theyre a fire hazard also and or can ruin a persons pc..

Good article. Please fix the Dell and HP links. Thanks, and keep it up!

Piss off the channel, no charge.
Piss of your customers, no problemo.
Walk all over your partners and OEMs, who cares ?
Piss of the SEC - boy are you in trouble ! Five stars on the NVice City police rating !

Well I say it's about time. I want this cleared up so I know which card to buy next year.

It seem pretty obvious to me that their silence on the issue is to be sure as many cards are out of warranty as possible before they forced to do anything about..........like taking care of their customers

Where are the NV Fanboys now? Where is that blind defense of a company who clearly knew in advance that there was a problem, covered it up to keep the stock from tanking, and all the dirt is coming out to crucify them with anyway? GREAT JOB CHARLIE. By the way, I did not get that HP Laptop with the Geforce 8300 GPU. Despite the 8300 not showing failures, I just was too uncomfortable with purchasing any product with an NV Chipset in it

This is what I got sofar:

nVidia admitted that their is/was something wrong with their chips. They took a $200 million reservation based on this. Also, they said they want to help partners and customers who are affected.

All sounds nice to me.

Then Charlie comes along and starts accusing everything and everyone. Continiously reffering to his own articles and hardly anything else.

Then he comapers it to the XBox 360. But forgets to mention that there where a lot of users actualy having problems. And it even got sofar that repairshops refused to repair XBox 360's.

I'm not saing nothing is wrong. But there is a hugh difference between what I read online and in forums and what Charlie is writing.

And now this Class Action Suite from somebody who saw the smoke and thinks that is related to the drop of the shares. While I will not deny that the announcement of the reservation ($200 not $500 million, btw) will have had an effect on the shares. There are much other factors that did. Like an increased competition from ATi/AMD, and a general down going market (many shared dropped during the same period. Anybody watching share prices around that time will confirm that). This also includes the problems with mortages in the USA. And a possible ressesion. Increasing oil prices, etc.

Anyway, we will see how this pans out. SONY survived the battery fiasco, and Microsoft survived the XBox 360 problems. So I see no reason why nVidia would do the same.

Oh Charlie: it would also be nice if you could actualy link to some credible information about your story. Why are there no press releases from channel partners, OEMs en (r)etailers ? 


I'll wait for this to tank Nvidia stock just as the nuisance shareholder suit tanked Take Two stock. I made ~5$ a share after I bought it in '06 (average, I picked up some extra when it dropped further) thanks to people panicking. I expect I'll pick up Nvidia stock when it hits about 7$ or so, maybe 5, and laugh as it rises above again.

Oh and I thought Nvidia was going to be prosecuted for price-collusion. Good 'ol Charlie, throw tons of sh*t at the wall and see what sticks. I do have to thank you though. You should help drive the price down nicely as the morons panic, for no good reason, allowing smart people to swoop in and snap up the company's stock cheap.

The sucker bet right now is AMD. Unless they can stop hemorrhaging money, they're dead. Still if you've got the cash, consider a minority position when they hit about 3$ / share.

I think most nvidia fans have left here long ago or just look at the names of these articles and ignore them with a smile.

As far as im concerned if he does these every day and stops doing game reviews ill be happy. Spore anyone ? :p

by how much they complain that the legal system is broken and/or that this is a frivilous suit. 

Thank you Charlie for your wonderful reporting skills.

Well got the HP back and of course the fan runs faster, but it is a lot cooler.

The only paper I get is to remind me I have 90 day warranty on parts or remaining 10 months of two yr. warranty. Oh well, if it fails again in 12 months, I'll buy a netbook. This notebook just runs too hot or you hear a lot of fan noise.

Maybe this poor hardware is why I had such a bad opinion of Vista. Vista seems to run better now.

I would love to see N-viaid's end by the end of this year. Such a crappy company should not have survived till now.

well thats nice for the investors, but investors should understand that when you invest you take a risk. The consumer is still screwed either way. This is just Corporate America worried about bussiness. But on a good note, its about time someone took notice!

Good that this whole thing finally went public. nvidia will get some serious whoop ass as deserved from their evil plan to conquer the world :)

http://www.fudzilla.com/index.php?option=com_content&task=view&id=9296&Itemid=1%5Dhttp://www.fudzilla.com/index.php?option=com_content&task=view&id=9296&Itemid=1%5B/URL

Looks like the Inq might need to check their sources. Many were wondering whether or not this "failed chip" issue was being blown out of proportion. Well, looks like that may be the case. I'd like to hear from Charlie, or see his take on the link above. But I won't hold my breathe as it may involve having to say something that's not down on Nvidia.

Sorry Charlie.



@Magnum Opus

thats EXACTLY the point Magnum, fudzilla quote :- "We were told by industry sources that so far neither Dell or HP have recalled a single notebook using Nvidia GPUs."

whats being said Magnum is that HP and Dell etc furkinwell should be recalling said stuffed lappys and not just issuing a bios update that runs the fans flat out thereby if/when the GPUs fail they will be out of warranty, heads they win, tails the punter loses :O)

The "What are bad" link is, err, bad, and the link to HP's site sent me to Dell's page.

... is the deal with this story's URL?
Don't get wrong, I find swearing hilarious, but even by Inq standards it's pretty poor.