Rumours afloat say that AMD intends to acquire the manufacturers of Ageia Physics Accelerator in order to access physical acceleration technology. This could be AMD’s answer to Intel’s acquisition of physics acceleration engine development company, Havok. However, graphics industry watchers point out that the current Ageia PhysX is of low popularity compared with Havok. Coupled to AMD’s fund shortages, AMD’s acquisition of Ageia not probable.

Rumours afloat say that AMD intends to acquire the manufacturer of Ageia Physics Accelerator in order to access physical acceleration technology. This could be AMD’s answer to Intel’s acquisition of physics acceleration engine development company, Havok. According to AMD graphics group’s European research and development relations manager Richard Huddy, AMD is indeed examining such an acquisition, but results would depend on whether Ageia’s acquisition price is “reasonable.”

It is understood that Intel in September acquired physics engine software maker, Havok. Havok’s modular suite of software development tools are widely used in games and digital animation. Films such as “Poseidon”, “Charlie and the Chocolate Factory”, as well as more than 150 world-renowned games, such as “Crackdown”, “Half Life2″, “Stranglehold” have used Havok’s physics engines.

Noteworthy is that Havok, Intel, AMD and ATI’s cooperative relationships has changed. This will affect the future Fusion processor AMD plans to release. Richard Huddy has publicly announced that AMD is now discussing merger with Ageia Physics Accelerator manufacturers to obtain physical acceleration technology.

According to Richard Huddy, AMD in the past few months has been discussing the merger. Ageia’s value also rose sharply after Intel’s September acquisition of Havok. AMD’s limited fundings caps investments over 100 million US dollars, hence the likelihood of acquisition mainly depends on the acquisition price.

Graphics industry watchers pointed out that the current Ageia PhysX is of low popularity compared with Havok. Coupled to AMD’s fund shortages, AMD’s acquisition of Ageia not probable.