Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Harold Engstrom who wrote (6998)	2/24/1998 10:49:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 11555

IDTI has not said explicitly that there is not a basis for an Intel lawsuit TMK. I'd like to see a statement or quotation to that effect. There are warnings (10Qs, etc.) and I've heard IDTI statements and discussions regarding this issue. When the question is asked what IDTI will do about producing parts at an Asian or US company in order to get production more on par with AMD, NSM/CYRIX, and Intel, then the patent issue is worth considering. IDTI has said that they are not consequential enough to Intel to cause them to sue. This changes when and if IDTI becomes a large producer of Pentium class uPs. We all hope that they grow production to the point that IDTI is on Intel's competitive radar screen. Brian said that one of the reasons that they have done site surveys and are considering agreements with IBM, SGS and one unammed fab company is to prevent any hassle of a potential Intel lawsuit. The fact that Centaur/IDT developed the C6 technology seperate from any apparent reliance on patented Intel technologies may not prevent Intel from suing. Although Cyrix had claimed no patent infringment on their parts, Intel sued them anyway. Intel held that they have a sufficiently broad and specific patent portfolio to make the design of a non-infringing chip impossible. IDTI management has warned in the 10Qs and public discussions that Intel could sue. The resolution of the patent infringement suit would likely take several years and valuable management and financial resources to sort out.