Weissberger notes that Intel attempted to enter the data comm market in 1980 with Ethernet LAN chip made in Israel. They were 1 of 3 companies (XEROX and DEC were the others) that co-authored the original 10 Mb/sec Ethernet spec submitted to IEEE 802 committee.

Dave says Intel had a problem with the random number generator – used in the MAC back off algorithm used for re-transmission after a CSMA/CD collision. Shortly thereafter, DEC gave their Ethernet chip set design to AMD, which took market share away from Intel (as did Seeq with a chip co-developed with 3COM). Intel followed with voice band modem, SDLC/HDLC, and ISDN chips, but they all fizzled out after initial but short-lived success.

Ted stated Intel’s intent of developing the DSP chip was to give analog designers better design tools for telecom systems. But those designers were uncomfortable with digital signal processing and prefered to use computer simulations instead. In 1980, Intel moved the Telecom Group to AZ with Ted staying in CA. Chips for military and automotive followed….

[Description by Alan Weissberger]

The above video was captured at the IEEE-CNSV October 1st panel, Intel’s Transition to Success: From Memory to the Microprocessor. For the full description, click here.