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AMCC Powers Up: Page 3 of 3

To help pull off this integration, AMCC is getting access to IBM's chip foundry and design methodology as part of the acquisition. That's no small potatoes, as IBM is counted among the most advanced chip-building operations in the world.

AMCC isn't alone in acquiring a general-purpose microprocessor; Broadcom Corp. (Nasdaq: BRCM) and PMC-Sierra Inc. (Nasdaq: PMCS) picked up SiByte Inc. and Quantum Effect Devices Inc. (QED), respectively, in 2000. Both of those chips use the MIPS architecture, a competitor to PowerPC, and they've dominated the market for high-end, standalone control-plane processors. (See Broadcom's on a Buying Spree, PMC Intros MIPS Processors, and Control Plane Envy.)

Craig Matsumoto, Senior Editor, Light Reading