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Technology Stocks : IDTI - an IC Play on Growth Markets -- Ignore unavailable to you. Want to Upgrade?

To: Hippieslayer who wrote (6995)	2/24/1998 9:07:00 PM
From: Rob S.	Read Replies (2) \| Respond to of 11555

I don't have a worthwhile opinion about quality control. The more serious question, and one that only IDTI engineers can answer adequately, is how well the process technologies and experience would fit. TSMC has some great, modern facilities that should be capable of handling the C6's comparatively simple fab processes. What is the bigger issue that differentiates IDTI from NSM/Cyrix is that IDTI has no intel patent cross-license. They would almost certainly face a lawsuit from Intel if they tried to sign a direct fab agreement with any non-licensed Asian company. Remember that Intel sued AMD, which had a contested cross-license agreement and Cyrix, which fabbed parts at TI and SGS at the time - both of whom have Intel cross license agreements. Intel lost both lawsuits. No company has yet developed and manufactured Pentium class X86 parts without having the parts manufactured in their own or an outside company's licensed fab, TMK. If IDTI manages to not draw an Intel lawsuit it will be the first time. IDTI has some patent negotiation and agreement history with Intel and an IP position that should make Intel think twice about taking them on. And the anti-trust investigation is still going on. But if IDTI tried to mfg. parts in an unlicensed Asian company, IMO Intel would be forced to sue - I think that would just be too threatening to their IP protection position. Intel has sued Asian companies over ripped-off 4X86 class parts in the past.