Read about it several months ago, and yes its sad news. GPU physics isnt dead per se, just ATI/nVidia will stop focusing on it and Intel will release 100% tuned version for its Larabee graphics.
If AMD can get the ATI purchase behind them financially, perhaps they should buy Aegia? After all, a Fusion processor with that generation's equivalent of an X3850 and Aegia physics as two cores out of 8 would actually be pretty cool. One core could go for sound and the other 5 could be general.
On the other hand, if ATI and Nvidia still want to go Havok, I'm sure that Intel would enter into a license agreement. So, all is not lost for GPU physics, especially when the GPU ends up integrated into the CPU.
I would rather prefer anyway that I'd have a quad or octo core processor that I could also use when encoding videos than either a
a) dedicated physics card that could only be used in games.
b) a mid-end vid card (that is used as a physics processor) that would could do nothing about my fps in games.
I think this is why Havok's software only physics is very attractive for game devs. You only need the processor.
Though an AMD buyout of Ageia would be interesting but would make a very big hit on AMD's finances, seeing their situation financially now, it could bankrupt them. Maybe in the far future, before Ageia goes bust.
You are about to answer a thread that has been inactive for more than 6 months. If you still wish to proceed, please ensure that your posting is original and does not duplicate or overlap any prior responses to this thread.