The latest claims I've heard coming from Jez San is that Argonaut were developing a rival graphics chip for the PS2, supposedly they were working for LSI Logic.
Quote: "
"We were working for LSI Logic at the time," Argonaut founder Jez San tells us. "They had just invested in Argonaut and part of the deal was they wanted us to design something for them. LSI were the fabricators of the original PlayStation 1 chip for Sony, and so were well placed to bid for the PlayStation 2 rendering chip, and wanted to compete along with several other designers. They used us to design it for them. LSI told us how Sony wanted it – they told us how many millions of polygons per second it had to do, and so we designed a chip that did that, and it was damn good." So good, in fact, that the chip's internal codename reflected its potency.
"It was something rude," remembers San. "It was either called Tadger or Todger, but it was something like that. It was probably called Tadger, because it was the dog’s bollocks. It was the fastest chip that we knew that anyone had ever designed. It would beat anything else that we were aware of."
Here
Sounds like it could be more bullshit..lol