The technology leader in high definition products and the world's no. 2 manufacturer of NAND flash memory chips, Toshiba Corp., plans to outsource a part of the production of its next-generation 28-nanometer (nm) system chips.

According to industry sources, the chips will be used in a wide range of electronics such as game consoles, digital cameras, flat panel TVs and other electronic gadgets starting in April 2010. To meet demand by that period, Toshiba will have to ramp up production. Its customers include IT giants like Apple (AAPL), which has already purchased $500 million worth flash memory chips from Toshiba.

Toshiba currently manufactures chips at its plant in Oita, southern Japan and plans to outsource to expand its production if capacity is insufficient.

According to sources, Toshiba is holding discussion with Singapore’s Chartered Semiconductor Manufacturing Ltd. (CHRT) and Advanced Micro Devices (AMD) to spin off Globalfoundries

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Santa Clara, California-based Nvidia Corp. (NVDA) offers digital media processors and related software for a wide range of visual computing platforms.

Things are going well for the company and it recently launched some new products like 12 new high-definition mobile Internet devices (MIDs) powered by the NVIDIA Tegra processor and new servers powered by NVIDIA Tesla(TM) GPUs. These new product offerings will have a positive impact on its revenue stream going forward.

Nvidia has a strong position in the gaming segment of the market for high-end graphics. Its GeForce line of graphics cards is essential for playing some of today's most popular computer games, and in this segment Nvidia has become a very familiar name. Although gaming is key to Nvidia's market, computing is becoming increasingly more visual according to the company, and we believe this is correct.

Although Intel (INTC) is aggressively competing with

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