We've been told repeatedly that the next-generation of consoles remains a very distant prospect indeed, but AMD and Nvidia are planning ahead, and we hear from VentureBeat that the next level of graphics will be with us before the year is out.

The next-generation of graphics chips promise to mark a new leap forward, and we're told this innovative hardware will define the companies involved for the next year or so.

New 40nm technology is planned, with both new iterations being DirectX 11 compatible "within a year".

Apparently, AMD will deliver their offering alongside the official launch of Windows 7, although Nvidia won't yet reveal when there own hardware will be released. More soon.

By Luke Guttridge