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Intel pursues further networking purchases

Shiva not enough -- we want more, says Great Satan

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Intel is on the acquisition trail as it continues its strategy to drive further into the networking hardware market, admitted CEO Craig Barrett, yesterday. "We'll probably make some more acquisitions," he said. "We're looking at some people." Intel has already bought networking companies Case Technologies and Dana Communications, and its $185 million purchase of Shiva is already in progress. It also has a stake in Xircom. The Shiva deal will extend Intel's product line of network interface cards (NICs) and low-cost switches into the SME arena. Intel also offers corporate-oriented gigabit Ethernet switches. Further purchases are likely to offer volume products into which Intel leverage its processor expertise to add chips that integrate greater levels of network functionality, bringing production costs down as demand soars. ®

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