NEC officials have indicated that they are in talks with Nintendo to make chips for the GameCube's successor.
Bloomberg is reporting today that NEC Corp. is in talks with Nintendo Co. to develop a chip for the GameCube's successor, and compete with Sony's PlayStation 3.
Spokesmen for both companies are denying the talks, but NEC executives who declined to be identified stated that engineers at NEC Electronics Corp. and Nintendo are discussing the possibility of co-developing the new processor.
"It is natural for NEC to go with Nintendo," Hideki Wakabayashi, an analyst with Mizuho Securities Co., told Bloomberg.
"It will be difficult for NEC to switch and start supplying to Sony Computer Entertainment Inc.'s game machine."
