Once the advantages became apparent, no phase of the semiconductor business could stand outside the powerful pull of alliance linkages. Forming alliances became a fixture in the range of corporate options:

Increasingly, the advantages of alliance formation came to outweigh the perceived risks and uncertainties. Indeed, the costs of going it alone (i.e., standing aloof from alliances) came to be seen as unacceptable. To survive in the competitive marketplace, especially during recessions, semiconductor companies had to scramble to find strategic allies. The rush to find allies, in turn, further intensified the level of commercial competition.



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