San Jose, California-based 3Dlabs Inc will use a 270MHz random access memory digital to analog converter (RAMDAC) for the third generation of its Permedia 2D/3D graphics processor aimed at the high-end desktop and gaming markets. While the Permedia 2 used a 230MHz RAMDAC, it now plans to beef up performance for faster graphics processing. The 128-bit chip will also support the full feature set of Microsoft Corp’s DirectX 6.0 applications programming interface (API) and Direct3D 6.0 API, as well as OpenGL and 2D drivers for Windows 95, 98 and NT 4.0. The company has not yet given a shipping date for its new chip but says it will be priced at $45 each for 100,000 units per month. 3Dlabs had been hard hit by the decline in sales of the Permedia 2 (CI No 3,419) and must be looking for the new chip to raise its market profile. However, the company does not expect to derive revenues from the Permedia 3 until the fourth quarter of this year.