My last post did generate a response, so check it out below and my response to the comment.
I should add that I was talking from my perspective. NVIDIA does take the Larrabee program very seriously. I see it more as a research project gone amok.
What I also find amusing is that Intel, for many years, tried to run away from the x86 instruction set with i960, i860, i432, EPIC (Itanium), and xScale, and now x86 is the answer to all applications. Fred Weber when he was CTO of AMD was the first I know to active promote the "x86 everywhere" strategy. While AMD still embraces this notion, I haven't seen them approach graphics directly with the x86 instruction set.
I think that AMD's Fusion is a wiser move overall.