Apple warns of faulty graphics processors in MacBook Pro line

Computerworld - Apple Inc. yesterday confirmed that MacBook Pro laptops manufactured through last month may contain faulty Nvidia Corp. graphics processors.

The announcement puts Apple in the company of other major U.S. laptop makers, including Dell Inc. and Hewlett-Packard Co., that have previously reported using the bad chips in their systems.

On Friday, Nvidia said that any replacement cost to Apple would be covered by the $196 million fund it announced in July. "In a way, this is all old news to us," said Derek Perez, an Nvidia spokesman.

In a support document posted Thursday, Apple said that, contrary to what it had been told by Nvidia several months ago, some MacBook Pro notebooks equipped with Nvidia's GeForce 8600M GT graphics processor may be among the machines using flawed chips.

Apple cited an internal investigation as the source of its information.

"We've been diligent in our analysis with Apple, as with all our OEM partners," said Perez today. "Our analysis is that failure in a MacBook Pro is remote, but Apple is going to decide its warranty or replacement procedures based on their own quality guidelines."

In July, Nvidia first publicly reported a problem with an older generation of its graphics processor in "significant quantities" of laptop PCs. At the time, the company said it would take a $150 million to $200 million charge against revenue to cover anticipated repair and replacement costs.

More than a month later, Nvidia booked a $196 million charge against its fiscal second-quarter results.

"At that same time, Nvidia assured Apple that Mac computers with these graphics processors were not affected," Apple said in the support document. "However, after an Apple-led investigation, Apple has determined that some MacBook Pro computers ... may be affected."

Hewlett-Packard has confirmed that the bad Nvidia chips were used in 24 different HP Pavilion and Compaq Presario notebook models, while Dell has identified 15 models in its Precision, Latitude, Inspiron, Vostro and XPS lines. Both HP and Dell have issued BIOS updates designed to boost fan speed. The Nvidia chips fail at higher-than-normal rates because of overheating; the increased fan speed is intended to ward off failure of the graphics processor.

HP and Dell have also extended warranty periods for the laptops with the bad chips, and in some cases have offered free repair.

Apple essentially announced the same yesterday. "If the Nvidia graphics processor in your MacBook Pro has failed, or fails within two years of the original date of purchase, a repair will be done free of charge, even if your MacBook Pro is out of warranty," the company said.

The company's hardware warranty(download PDF) is normally one year from the date of purchase, although customers can purchase extended support plans.