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Technology Stocks : Intel Corporation (INTC)

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To: d[-_-]b who wrote (10210)	2/5/1997 9:04:00 PM
From: Paul Engel	of 186894

Eric - Re:"...why Intel doesn't just put an ethernet chip on the motherboard. " Intel was actually one of the first manufacturers of single chip ethernet controllers. I believe one of these devices, the 80560 (I may be wrong about this part number) was introduced in the early/mid 1980s. It was designed and/or targeted for Intel's multi-bus systems as it was a high end/high cost device. An earlier version was a 2 chip deal with the Manchester encoder/decoder implemented in a separate silicon device. Intel never pursued the mainstream buisness and National Semi and AMD targeted these markets - ethernet controllers for add-in cards for PC applications. They eventually captured the lion's share of this market. Perhaps Intel didn't like the margins associated with these chips. One drawback to putting one of these chips on the motherboard is upgradability. As new standards emerge, it is easier to swap in/out an ISA or PCI adapter card when newer/faster standards emerge. Another long forgotten fact: Xerox, Intel and DEC were the three pioneers of ETHERNET standards in 1980. Ethernet itself was developed by Xerox - Bob Metcalfe, I think. Paul

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