WPP tipped for $300m Intel task as chip giant reviews

by Jules Grant,, Brand Republic 06-Oct-04, 09:00

LONDON - As Havas contends with takeover talk, it faces losing its $300m (£168.1m) Intel advertising and media account, which has been put up for review by the chip giant, with WPP Group agencies being tipped to win the account.

The review comes following long-running industry rumours of trouble on the business.

News of the review follows the appointment earlier this week of Eric Kim as vice-president and director of sales and marketing group at Intel.

Kim joins Intel from Samsung, where he was executive vice-president and head of global marketing and new-business development. Time magazine selected Kim for its annual "Global Influentials" list.

Insiders have speculated that the account will go to one of two WPP agencies -- J Walter Thompson or Berlin Cameron/Red Cell New York.

Sir Martin Sorrell, chief executive of WPP, is believed to have a close relationship with Intel's new chief marketer Kim, who worked with WPP agencies while at Samsung.

Havas' flagship agency Euro RSCG Worldwide has handled the advertising business since 1991 and was responsible for creating the famous TV campaign that features the recognisable Intel chime and the tagline "Intel Inside".

Intel's media account is currently held by sister Havas agency Media Planning Group. The two agencies have been invited to pitch according to Intel sources.

A spokeswoman for Havas claimed that the review had nothing to do with the advances of French corporate raider Vincent Bollore of investment firm the Bollore Group, who recently upped his stake in Havas to 15%.

Sources close to Bollore said yesterday that Publicis Groupe, headed by chief executive Maurice Levy, could buy the 15% stake to keep Havas in French hands.

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