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I think because the semi-conductors(transisters) are planted in silicon (it's just the way they build them now to make them so small) .Silicon is the material that "chips" are made of.

Certain makes of chipsets are used for peripheral control. Known as 'southbridge' and 'northbridge'. They control things like the keyboard, mouse, USBs and disk drives. They control the flow into and out of, the main CPU processor.

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