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Technology Stocks : Intel Corporation (INTC)

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10:02 AM EST

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To: Sam Citron who wrote (6375)	12/13/1996 12:48:00 PM
From: Mark Brophy	of 186894

Re: Your Alpha questions How can you be sure that Samsung and Mitsubishi will be producing when DEC needs the help? I assume they'll produce whatever product makes the most profit. DRAMs and SRAMs are unprofitable and they don't have x86 capability, so the Alpha is the best they can do. Once they are in full production, how will this not end up competing for the same business and hurting DEC? DEC could never build the high volumes necessary to compete in the mainstream market by themselves. Like Intel, they would need to spend $5-10b for fabs. They need somebody to share the risk. What compensation did DEC receive for the Alpha technology? I don't know, but I assume there's a license fee. It's probably not public info.

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