Peter, if my memory is correct: the problem with MSFT & Intuit was that MSFT already had the #2 personal finance software MS Money and was trying to buy the #1 product, Quicken. To be analogous, INTC would have to be #2 in graphics chips already ... and then try to acquire CHPS!
INTC's competition is AMD and NSM/Cyrix. I believe both companies are developing single chips that integrate graphics with their processor. INTC needs this capability to compete in the future. The FTC's concern should be if this deal allows INTC an unfair advantage against these two competitors.
IMO, the losers in this acquisition would be the other stand alone graphics companies: CRUS (small part of business), NMGC, S3, TRID, etc. Should the FTC be concerned about these companies?
Even if the deal fails, CHPS should do very well. They have a close working relationship with INTC and any "single" chip design from INTC would probably include CHPS technology! How about a nice royalty from INTC on every processor they sell? Maybe I'm dreaming ...
Best Regards, Bill |
