Digital pulls back from ARM chip

Intel to promote Strong ARM processor on its own.

The future of the Strong ARM processor will be negotiated between Intel and UK developer Advanced Risc Machines (ARM), as Digital will end its involvement in the project when US authorities approve its deal with the chip giant.

Harry Copperman, senior vice president at Digital, confirmed that the manufacturer will only fulfil its commitments to existing customers and leave Intel to promote the Strong ARM architecture.

'Strong ARM does not fit into our new business model. We can't sustain the extra architecture,' said Copperman.

Pat Gelsinger, vice president of desktops at Intel US, echoed Copperman's views and reaffirmed Intel's support claiming the company was committed.

He said: 'Strong ARM chips don't fit into our x.86 platform. But we also have a $1 billion embedded processor market. If the Digital deal goes through, we will take advantage of it.'

Digital sold its semiconductor business to Intel for $700 million as part of a wide-ranging agreement between the companies to settle their litigation. The sale will include Digital's Strong ARM Risc chip technology, its chip plants in Massachusetts and Texas and a development unit in Israel. As a result, both firms have agreed to request a stay of all lawsuits between them.

Gelsinger said the Strong ARM platform offered many performance features over other processors in that embedded market.

Despite a series of design wins for internet appliances, personal organisers and handheld computers, Digital will give up its investment in Strong ARM because it wants to get out of the processor business, leaving ARM to discuss the chip's future with Intel.