Samsung buys Alpha rights from Digital

Samsung has revitalised the future life of the Alpha platform after it bought the architectural chip licence from Digital.

The terms of the deal were not made public, but it seems clear that Compaq, which is set to buy Digital if shareholders approve, could benefit from a double Digital windfall - Digital has also finalised the sale of its networking division to Cabletron Systems for about $430 million.

The extended relationship with Samsung should reassure doubters that the Alpha architecture has a future, according to analysts.

Samsung gains the right to make versions of Alpha for specific markets and has set up an Alpha subsidiary to reflect its importance.

Daeje Chin, chief executive of Samsung's system LSI division, said the agreement ensures it will add to the company's recent 600MHz version of the 21164 Alpha processor.

'We now have access to Digital's future generation Alpha designs, as well as the freedom to build successive generations of cutting-edge Alpha products to serve a broader customer base,' he said.

Digital said the consummation of its deal with Cabletron has led to a co-operative partnership, covering reseller and services contracts.

Digital and its channel will sell Digital-branded kit, as well as Cabletron products.

John Ardini has been named vice president of Digital's network business segment, and a unit has been set up to support the Cabletron business.