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Technology Stocks : Chips and Technology.
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To: William Partmann who wrote (214)12/26/1996 12:26:00 PM
From: Kevin L. Shoemaker   of 247
 
For all those out their like myself who have been fretting over Intel entering the multimedia chip market, I strongly suggest you read the article in Upside magazine entitled "Can Intel do Multimedia?". Upside can be found on the investorama.com web site or you can access the article at www.upside.master.com/companies/intel.sb2.html.(Sorry, I don't know how to set up a direct link. Any help is appreciated!). Regarding the article, we can all sleep tight in knowing Intel is not in the positiion to monopolize not have they made the decision to attempt to monopolize the MM chip market. INTC has partnered with companies who specialize in these chips, thus providing OEM's best of breed and also keeping internal manu cost down. As you will read in the article, Intel is relying on the Auburn chip, yes the Auburn chip that in being jointly developed by Lockheed and CHPS. Intel has no intention at this time to cut either company out of the picture.

The most significant point of interest is Intel's determination to control this market with its brand name position. Intel will be able to force OEM's to use their chip set which will INCLUDE chips from CHPS, not replace them! To have a 500 lb. gorilla like INTC knocking the doors down and allowing entry into new markets is a huge positive for the future growth of CHPS.

Happy reading and enjoy.
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