Nvidia said it had licensed its SLI technology to Intel, which could allow its graphics cards to work with platforms based on Intel's latest Nehalem-based chips. Intel-based platforms using the Core i7 and Core i5 processors will now support SLI technology, which allows multiple graphics cards to work simultaneously to scale video and gaming performance.

The technology is a step forward for Nvidia and Intel as they combine technologies to further "the PC as the definitive platform for gaming," Nvidia and Intel said in a joint release.

It was in the best interest of both companies to get the technologies to work together on SLI, said Dean McCarron, principal analyst at Mercury Research. Intel-based systems will get richer graphics, and Nvidia will sell more graphics cards.

The agreement does not impact other areas of engagement between Nvidia and Intel, spokesmen from Intel and Nvidia said in separate statements. The companies are engaged in a cross-licensing dispute about Nvidia's right to make chipsets that are compatible with Intel processors that have integrated memory controllers, like the Nehalem-based Core i7.

McCarron said Intel and Nvidia may have reached peace on SLI, but the friction between the companies will remain as Intel tries to gain control of its future chip technology. Intel has already moved the memory controller inside the processor, and later this year plans to integrate graphics in a two-chip package it plans to start shipping later this year.