If you sit back and consider the facts for a minute, it all seems very logical. If the merger was to go ahead, it could affect ATI’s most direct competitor (nVidia) a lot - the merger would create a company who has the capacity to create good CPU’s, good chipsets and good GPU’s. By combining their resources, it opens things up for AMD and ATI to really take on Intel and nVidia in a big way and increase their market share in a range of different product segments.