[georgemcbay]

"What if Intel introduces new instructions that assist with some patented algorithm but do not carry out the complete algorithm? Software completes the algorithm using the chip instruction. Is that covered under Stallman's software patent immunity proposal?"

Sure, why wouldn't it be? I'm not suggesting his idea is feasible or not. But as he stated it, in this case if you were able to reverse engineer the software bits required to make the magic happen on the chip and reimplement your own version you wouldn't be on the hook for actionable patent infringement whether you were the developer or a user.

OTOH you wouldn't be able to implement the hardware side of that system under these rules.