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Technology Stocks : Intel Corporation (INTC)
INTC 41.41+2.2%Dec 5 9:30 AM EST

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To: StockMan who wrote (63500)8/27/1998 11:24:00 PM
From: Dale J.  Read Replies (1) of 186894
 
Stockman,
Re: If Intel and Microsoft were to engage in a "fight" there would be NO WINNERS, and could be a DISASTER for Intel's vision of a BILLION CONNECTED COMPUTERS

I agree it was in Intel's best interest to work with MSFT, but they could have negotiated from strength or at least as an equal. Intel could have pointed out the fact that if they "fight" nobody will win. Gates I believed played on Intel's fear of a fight, much like a bully plays on fear.

Intel was very strong back in 1995. And as Paul F. pointed out in the last post Novell and OS/2 were viable and could have been used as bargaining chips. In addition Unix was well ahead of Windows NT back then and the Internet was much more suited towards Unix. IT managers use to say Windows NT stood for Windows Nice Try. IBM OS/2, Novell, Unix, and the OEM's all had a common resistance to MSFT, but needed a catalyst to bring them together. Intel could have been the catalyst.

In the end I agree with you that it was in Intel's best interest to work with MSFT. But it was also MSFT's best interest to work with Intel. Intel I think failed to demonstrate that point to MSFT, and now MSFT has the upper hand in the duopoly.

BTW: Do you have a link to the Fortune article. I hadn't read it, but I did see some excerpts on CNN.

Dale
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