Original URL: http://www.theregister.co.uk/2000/04/10/via_to_buy_s3_graphics/

Via to buy S3 graphics chip operation

Full details coming later today, says chipset company

By Tony Smith

Posted in Business, 10th April 2000 11:46 GMT

Via will today "announce its decision to purchase US-based S3's graphics chipset unit" today, according to a report in Taiwan's Commercial Times. The question is, does this mean Via will announce it has bought S3's chip division, or that it has decided to buy said operation. These are not, you'll note the same thing at all. That said, we expect that the former is what Via has in mind to tell the world. The company admitted last week that it was talking to S3 - a company it's had good business relations, plus a joint venture, with for a little while now - which means it must already have decided to buy the unit if the two companies can agree on price. And we assume that also means that Via has beaten off other, unnamed companies which, last week, it admitted were also talking to S3 about buying its chip division. According to a Via spokesman, cited by CT, the division will be turned into a company in its own right, though initially it will be part of the Via-S3 joint venture. Interestingly, CT notes that Via is about to lose its authorisation to use Intel Slot 1 intellectual property, but that by buying S3's chip business, which is also authorised to use Slot 1, it will ensure it can continue to support the Intel technology. Cunning or what? ® Related Story Via admits it's in talks to buy S3 chip unit