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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 221.06-1.1%3:59 PM EST
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To: eracer who wrote (214895)10/25/2006 1:53:37 PM
From: pgerassiRead Replies (1) of 275872
 
Dear Eracer:

Sounds like Fusion is a guaranteed money loser. Giveaway desktop CPU prices aren't good enough apparently. Now it's time to give away the GPU as well.

First, if CPU+GPU prices are the same as old CPU only prices, then new CPU only prices are cut by the amount it takes to purchase a good GPU. Intel's in house GPU aren't good enough, so they would be forced into using an outside source. And they would likely insist on using their own memory controller which means that the NB has to come from that source. AMD doesn't have that problem because of its ODMCs. That means that any market, where the NB+GPU is more than 50% of the CPU only price, would effectively be locked away from Intel. That would mean that about half of the PCs and 2/3's of the notebooks would use AMD only.

Second, you failed to notice the key word in the Orton sentence, "help". Of the $200 to $300 difference in price, only some of that would come from the CPU+GPU. I figure that to be about $50 of the difference. Mostly that is the cost of a good GPU. AMD already saves the cost of the NB.

Third, there is nothing stopping nVidia, SIS and VIA from producing SBs or PCIe HT bridges for AMD based systems. There will even be a need to incorporate a RAMDAC and associated analog circuitry into SBs to output to VGA or composite signals to monitors. Ditto for a HDMI and/or DVI interface.

Pete
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