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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Black-Scholes who wrote (80609)	5/8/1999 11:25:00 AM
From: Process Boy	Read Replies (2) \| Respond to of 186894

Black Scholes - <Ms. Cluney - Why do you think the market values BRCM at $15 billion? Why? Answer: Because that's where the market is migrating. The consumer won't need a big powerful INTC microprocessor anymore. All his processing needs will be done on some server somewhere. The consumer will be able to watch television, use VIDEO telephone, perform internet transactions, and execute any other information based tasks over his/her's set top box - not PC!> a) Intel is very big in the server market. I don't believe this scenario would kill Intel. However, I don't believe intel will disappear from the consumer space at all. b) The set top box market is STILL undefined. Your vision sounds a lot like Larry Ellison's Net PC thing, which IS coming true, only with Value PC's as the net device of choice. Ellison even admits the PC happens to be the connection device. However, if the set-top market emerges, I believe intel will be ready, because... c) I believe Intel is working on it's own designs for this market in house. Intel is going to aggressively push StrongARM designs in the handheld / phone /WinPad / space, and I believe Intel is developing it's own integrated IA32 designs for the Set Top Box space. d) Some of us will never give up our PC's, even IF there is a radical market shift. I want my computing power and storage local. <And BRCM and CUBE's chips do this.> And so may intel's. And if they don't Intel MAY acquire some other companies. Have patience. The market is still in its infancy. I know Intel is evaluating all options. Just because their actions, or perceived lack thereof, doesn't match your expectations, doesn't mean Intel isn't aggressively pursuing a course of action. <Your attitude about INTC is probably very reflective of the attitude inside INTC - a robust arrogance.> Some people think this. I disagree, and I'll leave it at that. I wonder how people "know this" if they are not "here"? Oh well. <Also, intelligent acquisitions are not "desperate" measures. They are absolutely critical for survival in a capitalistic environment. They're a signal of strength not weakness.> "Intelligent" is the operative word here. Otherwise I do not disagree. From what I've seen and heard from Intel Exec's recently, I believe they have a plan. Maybe as Mary says, Intel may need to communicate with investors more about expansion into "non-traditional" business areas going forward. <OT: your knowledge of CUBE is inadequate. CUBE owns a company called Divicom which basically is the digital video broadcasting/networking world's version of Cisco. Also, quality MPEG encoding is one of the most complex processes for algorithm design. CUBE is just an absurdly undervalued company because the market (of which you're included) doesn't recognize this yet (although it has begun - see CUBE chart). Rationally, the market should award it a PE multiple close to BRCM's. Both companies, right now, have complementary product lines that are converging quickly to the same market - set top boxes.> Intel just announced it is taking a significant stake in CUBE. I don't know if it is a good candidate acquisition, but most analysts don't seem to think so by what I've read. Intel and CUBE have a joint technology venture. Sometimes it makes more sense from a business perspective to go this route. Just my .02. PB