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Comments on: Intel and STMicro Flash venture delayed by cash problems

Intel short of cash!!! 

Posted Friday 28th December 2007 01:30 GMT

Coat

Wow, never thought I'd read that line!

@ Matt Bryant 

Posted Friday 28th December 2007 21:12 GMT

Don't read too much into that. Intel's flashram business is effectively a separate company from the CPU business, and from the video chipset business, and from the motherboard business, and from the white box server business, and so on. It's all accounting tricks, but what it amounts to is that the parent can take a take writeoff on a business that's losing money to offset the taxes due from a profitable business. The side effect is that each business unit has to negotiate its own credit.