Statement of the Federal Trade Commission in the Matter of Intel Corporation/Chips and Technologies, Inc., File No. 971-0106

File No. 971-0106

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Intel Corporation, the leading producer of microprocessors for personal computers, proposes to acquire the voting securities of Chips and Technologies, Inc., a leading supplier of graphics and video controllers for portable computers and for LCD flat screens. Graphics controllers, known as "graphics chips," enable computers to display images on monitors.

The Commission has determined not to seek a preliminary injunction to block the acquisition of Chips and Technologies by Intel. However, because we have concerns about the impact of this transaction on competition in markets for certain computer components, we have chosen to continue the investigation into the lawfulness of the acquisition.

The Commission vote to issue this statement was 4-0 with Commissioner Mary L. Azcuenaga not participating.

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