IBM signs yet another deal to manufacture microprocessors

IBM signs yet another deal to manufacture microprocessors
Tom Foremski
IBM is quickly becoming the major manufacturer of Pentium compatible microprocessors, signing a deal with Integrated Device Technology (IDT) to manufacture its WinChip C6+ microprocessors.
This is the third such deal, it also has foundry deals with National Semiconductor and Advanced Micro Devices to manufacture their microprocessors.
The three year IDT agreement covers production of future WinChip microprocessors, and will give IDT access to IBM’s key copper technology. Industry observers said that IDT had run into manufacturing problems for the WinChip because of constraints at its US fab.
IDT will also receive legal protection. Although Intel has not filed a lawsuit against IDT, possibly because of its low market share and scrutiny from the Federal Trade Commission, IDT does not have a cross-technology licensing past with Intel. IBM does have such a cross technology pact which will protect IDT in the event of an Intel challenge.


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