3D Labs Buys Intense 3D

3D Labs is set to issue up to 3.69 million common shares to acquire Intergraph's Intense 3D accelerator division. 3D Labs will pay up to $25 million in additional stock or cash if Intense 3D meets certain performance marks, and the company will continue to provide graphics accelerators for Intergraph's product range. 3D Labs considers the two product lines to be complimentary, and has no plans to discontinue product to reduce its workforce. Intense 3D will remain in it's Huntsville, Alabama, headquarters. "3Dlabs will now have multiple proven development teams, each with its own critical mass," said 3D Labs CEO Osman Kent, "This should enable the combined company to increase our frequency of product introductions into the professional graphics market and to liberate engineering resources for developing products for additional growth markets, both on the traditional PC and the emerging appliance platforms."