Paul and Thread - We evidently have customers for the Network uP!
Intel said it already has lined up several major customers of its Internet chips, including network equipment makers Cisco Systems Inc. (Nasdaq:CSCO - news), Newbridge Networks Corp. (NYSE:NN - news) and Cabletron Systems Inc. (NYSE:CS - news)
dailynews.yahoo.com
Intel Introduces New Internet Chip
By DAVID E. KALISH AP Business Writer
NEW YORK (AP) - Intel Corp. (Nasdaq:INTC - news) unveiled a new microprocessor chip today intended for use in devices that route information across the Internet, in an aggressive bid to expand beyond Intel's core business of powering personal computers, where growth has slowed.
Intel wants its new ''network processor'' to replace pricier chips as the brains of switches and routers that shepherd data through corporate networks and the Internet. As the No. 1 chip maker, Intel can keep prices low because of its large-scale manufacturing operations, a strategy that has helped the company get its microprocessors into 90 percent of the world's personal computers.
Intel said it already has lined up several major customers of its Internet chips, including network equipment makers Cisco Systems Inc. (Nasdaq:CSCO - news), Newbridge Networks Corp. (NYSE:NN - news) and Cabletron Systems Inc. (NYSE:CS - news)
Intel also said it would invest $200 million to invest in small companies that are developing products using the chips.
The company stressed that its new ''IX Architecture'' system would help makers of networking equipment easily add new features. Intel's new chip design ''will help customers deliver faster and smarter networks on Internet time,'' Mark Christensen, head of Intel's Network Communications unit, said in a statement.
Today's unveiling was part of a flurry of announcements by Intel at its annual conference for developers in Palm Springs, Calif. The moves helped push up the company's stock price 3 percent in early trading today, up $2 a share at $84.183/4 on the Nasdaq Stock Market.
On Monday, Intel unmasked its ''Coppermine'' Pentium III processor, an enhanced version of its high-end PC chip, to be released in October. It will operate at a speed of at least 700 megahertz.
Intel also demonstrated its much-touted Merced chip for powerful business machines, which the company has been developing with Hewlett-Packard Corp. and intends to start shipping in volume by the middle of next year.
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