On February 4th, Nvidia announced in a press release that it would be aquiring Ageia, a firm known for its PhysX add-in boards and the PhysX SDK, which is used in many new and cutting edge 3D games such as Unreal Tournament 2007.  This is a somewhat unexpected, yet completely understandable move for Nvidia, which is gambling that Physics enhancements in games will be a much bigger deal in the advancement of the industry than they are now.  As a result of this move, there are now three major players that own both Physics and graphics intelectual property.  AMD achieved this when they purchased ATI, which has already demonstrated the use of its graphics cards for physics processing, and Intel has expressed interest in developing both physics acceleration technology and a new interest in higher graphics technology.  There can be no doubt that of the three, Nvidia currently has the greatest 3D graphics assets, and Ageia are the current leaders in physics technology, which puts Nvidia in a very good position moving forward, but it remains to be seen exactly what Nvidia will do with their new aquisition. 

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