Word: pentium
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...Boucher notes, is that the company's new products have essentially eclipsed demand for the old ones: "Intel is a victim of its own success in rolling out new products and introducing new technology. They've done that so well and so rapidly, they've made obsolete their existing Pentium processors...
Digital's surprise assault was impeccably timed: the previous week Intel had celebrated the launch of next-generation chip Pentium II. And the day of Digital's suit, microprocessor upstart Cyrix quietly filed its own patent-infringement claim against Intel. Digital followed a day later with full-page ads in the Wall Street Journal, New York Times and San Jose Mercury News. Wall Street took the bait, wrist slapping Intel's soaring stock down $6 and backslapping Digital up $2 in the belief that the microchip David wouldn't rile Goliath unless it had a really, really good case...
...hardware giant had bet heavily on its $2.5 billion Alpha microprocessor to return it to prosperity. Alpha is unquestionably the fastest chip on the market, but its speed hasn't overcome Intel's marketing clout. In 1996, according to Scottsdale, Ariz.-based Mercury Research, Intel shipped some 65 million Pentium chips, or 76% of the microprocessor market, compared with 200,000 Alphas. And this year looks grimmer still: 18 million Pentiums shipped through March, to 60,000 Alphas...
...chips--though Palmer doesn't claim this piracy occurred during negotiations between the companies in 1990 and '91. Intel was then considering licensing Alpha technology for its next-generation chip; after both companies signed a confidentiality agreement, Dig- gital revealed the Alpha design. But the talks fell apart, and Pentium, sans Alpha, went on to become the soul...
...Palmer was noticing reviews of Intel's new Pentium Pro line that found it strikingly--even suspiciously--improved over its Pentium forebears. Intel itself provided the most damning hints that it had leaned on its competitors for the upgrade. "There's nothing left to copy," said chief operating officer Craig Barrett in an incendiary Wall Street Journal article in August 1996. "We're a big banana now," noted CEO Andrew Grove. "We can't rely on others to do our research and development...