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Technology Stocks : IS INTC A GROWTH STOCK?
INTC 37.24-2.8%3:59 PM EST

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To: Yaacov who wrote ()5/9/1997 7:22:00 PM
From: Glenn D. Rudolph   of 243
 
IBM , others, see no big impact from flaw

Reuters Story - May 09, 1997 18:21
FINANCIAL ELI ENT US DPR IBM INTC CPQ DELL V%REUTER P%RTR

NEW YORK, May 9 (Reuter) - International Business Machines
Corp said Friday that it believes that the "reported anomaly"
with Intel Corp's Pentium Pro and Pentium II
processors will not have any major impact on its PC customers.
The computer giant said it is working closely with Intel in
the investigation and characterization of the problem.
"We currently have no information to believe that this
reported anomaly will have a major impact on our customers,"
said a spokesman for the IBM PC Co.
Earlier, Intel said its Pentium Pro and Pentium II chips
have a flaw that can sometimes lead computers to make mistakes.
Intel launched the Pentium II, its new Pentium line,
earlier this week and over 100 computer makers endorsed the
chip and unveiled new products designed around the Pentium II.
"We are continuing to ship product," said a Compaq Computer
Corp spokesman in Houston. "At this point, we haven't
received a lot of calls on it (from customers). Every processor
has some kind of errata. This is obviously one that Intel is
working on. It's not a show stopper."
A Dell Computer Corp spokesman pointed out that
Dell and many other PC makers have been shipping PCs based on
the Pentium Pro chip since January 1996.
"We can't trace any specific customer calls to this
specific errata," said a Dell spokesman in Austin, Texas.
"Based on what I know from Intel, it's not something that
should cause alarm...We don't believe it's a significant issue
and we stand behind our product and theirs. We have full
confidence in the product."
All the PC makers reached late Friday said they were
working closely with Intel, which is working with developers on
a software fix for the problem. Intel said it will not need to
recall the chips.
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