Tuesday, February 8, 2011

Intel (NASDAQ:INTC) in Risky Move Resumes Selling Faulty Chips

In an extremely risky move, Intel (NASDAQ:INTC) has decided to resume selling its faulty chips again, citing strong demand. I didn't know there was a demand for faulty chips.

Anyhow, Intel told computer producers they had to promise to use the chips only in designs that won't cause the performance problem to trigger.

Intel said, "only computer makers who have committed to shipping the Intel 6 Series chipset in PC system configurations that are not impacted by the design issue will be receiving these shipments."

In January, Intel discovered its newest chip had a flaw which would cause a number of computers to, over time, lose its ability to communicate with their DVD and hard disk drives. Fixing the problem was estimated to cost about $1 billion.

The supposed fixed version of the flawed chip is expected to ship sometime in February, making one wonder why Intel would take the risk of sending out these broken chips based on alleged demand.

What could go wrong with that?

Intel closed Monday at $21.69, up $0.01, or 0.05 percent.

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