It actually has gone back in forth between specialized graphics systems and graphics done via special purpose hardware. Sutherland observed on this and called it the Cycle of Reincarnation"
Great "chip technology"? Um, cpus and gpus are both chips, ad general purpose computing does get done on gpus, see CUDA for example. Reminds me of the move to vector systems in the 90s although that used multiple cpu/fpu units on boards rather than single chips.
I'm not sure whether SGI's government support contracts are a positive or negative for Rackable. I'd think someone could find a way to make money keeping SGI supercomputers at Los Alamos, etc maintained.
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