Intel Capital, a venture capital arm of Intel Corp., the world’s largest maker of x86 microprocessors, has reportedly invested millions of dollars into a company that is developing a technology that is expected to enable “seamless” multi-GPU arrays which will deliver great performance scalability without the need of special driver tailoring.

Startup company Lucid Information Technology has raised a $12 million round of funding from Intel Capital, Giza Venture Capital and Genesis Partners, a report from EETimes web-site claims. The company raised $4.5 million in its first round in 2005, having started up in August 2003 with $500 thousand from Maayan Ventures.

Intel Corp., which is already the largest supplier of graphics components with its chipsets that contain graphics cores, has been rumoured to re-enter the market of discrete graphics processing units (GPUs) for several quarters now and as market leaders ATI (now a division of Intel’s arch-rival Advanced Micro Devices) and Nvidia actively promote multi-GPU technologies, it is crucial for Intel to have one in its possession too.

Herzlyia, Israel-based Lucid Information Technology aims to develop high-performance system-on-a-chip (SoC) and parallel architecture that turns off-the-shelve graphic cards, graphic processor units (GPU) and graphics cores into powerful and scalable visualization solutions, transparently to the applications. While the exact details of the technology are unclear, it is known that Tensilica Inc. has provided Lucid a license to use its Diamond Standard 212GP general-purpose processor core for a scalable multi-GPU chip design project.

Modern multi graphics processor (multi-GPU) solutions, such as ATI CrossFire or Nvidia SLI rely on in-house developed hardware and software technologies to make graphics processors work in parallel. Even though both technologies have been around for quite some time now, their scalability sometimes deserve to be better, whereas scalability of Nvidia’s 4-way SLI (quad SLI) turned out to be rather disappointing. Lucid Information Technology is going to change that and two and four graphics chips to deliver 200% and 400% performance improvements over single-processor designs.

Lucid is looking at the personal computer (PC) market as the primary target for its technology and claims that it would be seamless to applications and graphics hardware vendors. The technology, however, would still include both hardware and software components.

Both ATI/AMD and Nvidia yet have to comment whether it is possible to improve performance of their products using third-party hardware and software.