As previously predicted, graphics chip sales have finally begun to rise as PC makers have finally liquidated their backlog inventory.  It’s not a complete win however:

But year over year, the comparison is still ugly. Shipments were 74.9 million chips in the first quarter, down 21 percent from a year ago. The market research firm predicts that sales won’t get back to normal seasonal levels until the third quarter of 2009. Sales aren’t likely to hit 2008 levels until 2010.

via Graphics chips make a comeback in first quarter sales » VentureBeat.