An Intel exec urged MSOs at Tues’ opening general session to work more closely with Silicon Valley. "Is it a threat?" asked Donald MacDonald, vp and GM of the Intel’s digital home group, as he pointed to a slide showing how content providers can use broadband pipes and Intel’s new "Viiv" chip to bypass traditional TV platforms. "Of course it is." MacDonald pointed out that Intel has "no meaningful relationship" with the cable industry and urged execs to open a dialogue before it’s too late. "If we do it properly, the revenue goes up and the operating expenses go down," he said. "You don’t need to die. You don’t need to let your ARPUs die or erode." MacDonald said Intel could even help operators integrate services such as home security and energy management, creating new revenue streams. In fact, he said cable "is on the cusp of a new industry… The challenge for both of us is, will we be ready?"