nVIDIA had lowered its sales prediction for Q2 fiscal year 2008 on July 2 from the original $1.1 billion to $875-$975 million, resulting a 23.5% slash on its stock price and another further 31% following the next day, the biggest slash in nVIDIA stock price per day since 2004, to a degree that combined slash in two days reached to a stunning 47%.

What’s worse, market shows numerous reports of nVIDIA’s GPU in laptop are overheating, thus resulting in higher defective failures in operation, a defect nVIDIA attributed to its suppliers, blaming their installation materials too weak, forced nVIDIA to have to spend $150-$200 million for warranty and refunding.

Faced with Intel’s latest GMA4500 fighting for crown in lower profile mobile market while AMD’s newest 4800s, formal answer to GTX200s, which can outperform its more priced counterpart in many tests, nVIDIA is in trouble, big enough to shape its future of this year, although it still holds on to the crown of graphics. But how long could they hold on?