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US chip giant in Asian venture

Sunday 01 August 1999 23:02 BST
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INTEL, THE US computer chip giant, yesterday unveiled a joint venture with the Hong Kong-based Pacific Century Group in an effort to bring high-speed Internet access to Asia.

Under the deal, Intel's existing joint venture with Pacific Century, known as Pacific Convergence, would be folded into a new company, Pacific Century CyberWorks, Claude Leglise, vice president of Intel's home products group, said.

Pacific Century Group, a private company controlled by Richard Li, the youngest son of Hong Kong tycoon Li Ka-shing, is creating CyberWorks out of its acquisition of telecommunications firm Tricom Holdings. Intel is investing $50m in CyberWorks and would also supply chips, software and systems to form the backbone of the new company's broadcast and Internet business.

The investment, combined with Intel's share of the earlier joint venture, will give it a 13 per cent stake in CyberWorks.

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