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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (42148)	5/12/2000 7:51:00 PM
From: mishedlo	Respond to of 93625

Any comments on Intel Rambus Relationship? Picked up from the FOOL Sorry - do not have a link to the news source ==================================================== In the event that Rambus terminates this Agreement after December 31, 2002 pursuant to Section .2(b)(iii), and only if prior to January 1, 2003 Intel has Sold more than ten million (10,000,000) units of Rambus Logic Chips which directly control PC main memory, then, subject to Section 9.3(c)(ii) below, Intel shall retain a Residuals Patent License. Thanks for the great info. This is the first time I have seen this agreement. Once again, I think the contract emphasizes how intimately entwined Rambus-Intel intended to become. The residuals clause is merely the paranoia side of the deal. "Only the paranoid survive," said Andy Grove. And there was certainly paranoia to be had. The bride was pretty attractive after all. What if Rambus runs off with AMD in the end? Remember that Geoff Tate spend 15 years inside AMD. That was a pretty serious relationship. You never know what might rekindle the flame. The residuals deal builds in protection for Intel's time and technology investment in Rambus. It's the pre-nuptial agreement of this technological marriage. Also notice the "if" portion of the residuals clause: "...only if prior to January 1, 2003 Intel has Sold more than ten million (10,000,000) units of Rambus Logic Chips which directly control PC main memory..." Very interesting indeed. Cheers, Julie