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Politics : Formerly About Advanced Micro Devices

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To: Petz who wrote (32763)	5/18/1998 1:34:00 PM
From: Elmer	of 1581020

<BTW, if Intel needs entire Fabs just to make their SRAM's, this vastly increases their costs for Pentium II. They have to amortize $2B fab cost for making the SRAM's as well as fab for making the P2 die.> John, who said they use "entire fabs". I just said srams were a product Intel makes. You didn't comment on my point about chipsets but they probably use just as much fab capacity as processors. Flash is not produced on a logic process so they need their own fabs. The amortizing has already been done when the line was running the processors. Nothing unique to Intel there. Everyone does it that way. The processors use the state of the art process and the other products backfill the freed up capacity as the processors move to the next generation. Pretty simple. Don't you think AMD does the same thing? If not, what happens to all that .35u equipment? If there's noting to use it then no wonder AMD's costs are so high. EP

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