Elite Bastards has posted a commentary on the ATI acquisition

One of two things can happen now, either AMD will buy ATI, or someone else will buy ATI. AMD making this bid forces the dissolution of ATI as a stand alone, and whether AMD gets them or not, it greatly benefits them. Although there are other potential suitors to buy ATI, such as Texas Instruments or Broadcom (For ATIs HDTV and mobile/handset chips) the real suitor is Intel. Intel already does much of what ATI does, but the key is graphics. Intels integrated graphics, now and in the foreseeable future, offer a bare minimum of features and performance, which will soon be completely unacceptable for notebooks, and even in the budget platform space. Either Intel will come to this realization and make a hostile bid for ATI, or they wont. One thing they will not do is buyout NVIDIA.