VLSI Technology has re-vamped its audio chip strategy through a new agreement with audio technology experts Q Sound Labs Inc of Calgary, Alberta. VLSI is understood to have abandoned its own Songbird audio chip development efforts in favor of a chip jointly developed with Qsound, which it announced last week. The new PCI audio chip, the Thunderbird 128, is aimed at the booming multimedia PC market, and the two are working to secure OEM deals. Thunderbird is sampling now, and should be available in volume within 60 days. Using a combination of hardware acceleration and advanced algorithms, the hybrid fixed/programmable Thunderbird chip can handle up to 128 channels of CD quality audio, enabling interactive positional audio, known as 3D audio, through a conventional pair of speakers or headphones. VLSI and Qsound say it is the most advanced audio chip available. Thunderbird includes DOS and SoundBlaster compatibility, and runs Qsound audio software libraries, such as Qinteractive, Qsurround, Qsound Wavetable and Qsound Multi- Speaker System. The audio chip market is currently wide open, with no companies dominating the space, and is being driven by the Microsoft Corp-Intel Corp PC 98 specification, and the gradual establishment of programming interfaces from Microsoft, such as DirectSound, DirectSound 3D and DirectMusic. Shipments, currently at around 40 million according to Dataquest figures, are predicted to top 100 million by 2001, according to Dataquest figures. Others competing include ESS Technology Inc, S3 Inc, Ensoniq Corp and Oak Technology Inc. VLSI says Thunderbird is a volume product, and expects PC manifacturers to build the chips into their products, as well as offering them as add-in cards. The product will be officially unveiled at the WinHec 98 show in Orlando, Florida next month. Base price will be $15 in production quantities.