Intel to Sell Fast Modems, Wireless Home-Networking Equipment 1/5/00 6:40:00 PM Source: Bloomberg News
Las Vegas, Jan. 5 (Bloomberg) -- Intel Corp., the world's biggest maker of computer chips, said it will ship a line of DSL modems in February as part of its effort to become a bigger player in the communications-equipment market.
Intel will sell the new digital subscriber line modems to telephone companies and Internet service providers, who will in turn sell them to their customers for about $295.
DSL technology lets users get access to Internet sites at speeds 150 times faster than regular modems, using the same phone lines. Intel is betting that making the modems and the chips that control them will be lucrative business as the market starts to slow for its main product -- computer microprocessors.
The DSL move is part of Intel's ''continued push beyond desktop computing,'' said company spokesman Tom Beermann.
DSL modems are one of many communications products that Intel is pursuing. Also today, the company said it is making a wireless version of its AnyPoint home-networking equipment that will be available in late March or early April.
AnyPoint lets home computer users link their computers through phone jacks in the house, so that a group of computers can use the same Internet connection or share video games. The wireless version will do away with the phone-jack connections.
Apple Computer Corp., one of the few computer companies that doesn't use Intel chips in its machines, is ahead of Intel on wireless home networking. Apple has a product called AirPort that connects computers wirelessly and sells for $299.
The price of Intel's product hasn't been determined.
Intel has been shipping DSL modems for a few months, said Beerman, but those were based on technology licensed from networking company Cisco Systems Inc. The new modems were designed by Intel and will carry the Intel brand.
Santa Clara, California-based Intel is formally unveiling the DSL modems and the new home-networking gear at the Consumer Electronics Show in Las Vegas tomorrow.
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