MediaTek is one of the biggest SoC providers around. It currently offers a deep lineup of smartphone and tablets chips that pair ARM CPU cores with graphics based on either ARM's Mali tech or Imagination Technologies' PowerVR hardware. Now, the rumor mill suggests future MediaTek processors could incorporate Radeon graphics from AMD.

"Industry sources" cited by Fudzilla claim that AMD and MediaTek "have been working on an SoC graphics solution for a while." The site says the two companies are in "continuous contact," but it couldn't get either one to confirm the collaboration. There's also no word on when the product of this reported partnership could arrive.

As Fudzilla points out, MediaTek pulls from the same pool of off-the-shelf GPUs available to other firms. Access to potent Radeon graphics could help it compete with Nvidia and Qualcomm, which both have in-house graphics IP. MediaTek wouldn't necessarily have exclusive access to Radeon tech, though.

If accurate, the Fudzilla report sounds like good news for AMD. MediaTek is the number-two SoC maker for mobile devices according to market share data published by Jon Peddie Research last year. The firm mostly produces budget-oriented chips, and its products seem to be particular popular in China. AMD probably wouldn't mind a slice of the action, especially since its own SoCs have struggled to gain a foothold in the mobile space.