¶ … Intel Capital - the Berkeley Networks Investment" in analysis, questions answered: 1) Why Intel Berkeley Networks form partnership? 2) Did firm achieve goals? If, ? If, ? 3) What Intel Capital: The Berkeley Network investment

The Intel Corporation is the largest company in the industry of computer microprocessors and its success has been based on a strong managerial model which emphasized not only the technical aspects -- such as resource management or operational efficiency -- but also the non-technical aspects of the business, such as the role played by the staff members in attaining overall corporate objectives, or the importance of learning and development to achieving pre-established goals.

The partnership with Berkeley represented the perfect mechanism by which Intel could develop and expand both its technical skills, as well as its non-technical skills. In other words, Intel would benefit from the technical expertise of the Berkley staff, and would also create an environment in which its...

More importantly, Intel perceived in BN's switch a breakthrough potentially capable of generating a new communications architecture" (Harvard Business School, 2000).
The partnership with Berkeley Networks raised some challenges for Intel, but the company still desired to complete the endeavor in order to capitalize on the networking advantages of the partnership (quick implementation, cost saving and increased operational efficiency); the company's managers perceived the opportunity as a good investment, and so did the representatives of Berkeley.

Once developed, the relationship between the two companies was complicated, partly due to Intel's desire to preserve its secrecy of operations. The company preferred to keep their partner at a…