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Politics : Formerly About Advanced Micro Devices

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To: Paul Engel who wrote (36031)8/15/1998 12:43:00 AM
From: Kevin K. Spurway  Read Replies (2) of 1573068
 
Come on, Paul. Intel has no use for that DEC fab.

After all, Intel is delaying their Fort Worth fab because they currently have excess .25u capacity. Why would Intel possibly want DEC's outdated fab in an environment where they already have a glut of capacity on their hands?

techweb.cmp.com

Face it--DEC stuck it to 'em. Under DEC's management, much of the fab was sitting idle because there wasn't enough demand for Alphas and StrongARMs. Rather than watch it depreciate, DEC "sold" it to Intel in settlement of their patent claims. Now, Intel is stuck manufacturing chips for DEC/Compaq at below market prices, and DEC is rid of its multi-billion dollar albatross.

Kevin
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