Looking at Nvidia finances over the last few years they would have no financial reason not to be able to break new ground. ATI are a tiny, value orientated company with a fraction of the budget Nvidia have, yet they are giving them a sound beating by just building the best cards they can.
If Nvidia just concentrated on building the best cards, I'm sure they could make money.
Anyway that's just my uneducated opinion, we are getting off track.
Nvidia have generally sold more cards but ATi seem to be much more focused and efficient as of late - while Nvidia have been sitting a little complacent. Hopefully Fermi will result in some solid competition performance and price wise. As much as I don't like Nvidia's buisness practices, we need them to stay in the game to keep prices down and AMD on their toes.