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Technology Stocks : Intel Corporation (INTC)

INTC 37.81

-4.3%

Dec 12 9:30 AM EST

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To: exhon2004 who wrote (58953)	6/27/1998 1:26:00 PM
From: Paul Engel	Read Replies (5) of 186894

Greg - Re: "Xeon, Intel" The Xeon Bug could have been a showstopper. However, I have heard from reliable sources that Intel was able to identify the cause of the "bug" (a L2 cache conflict when 4 CPUs were in use with the 450 NX) and have been able to correct (or fix) it. One explanation that was offered was that Intel has made appropriate changes to the PROGRAMMABLE MICROCODE features in their Pentium II device - to correct the fault. This PROGRAMMABLE MICROCODE has been a "stealth" feature for a while - Intel has not formally announced or documented the feature, although the presence of such a feature has been reported for about the past year. If Intel was actually able to correct the problem using this exclusive technology, Intel should be highly commended for having the foresight and technology to put this feature into their processors many years ago - well in advance! This will be a technological tour-de-force! And if a change to programmable microcode saves Intel's bacon, then the Xeon will get to market with only a minor delay for 4-way SMP servers - and of course, immediately with no delay for one or two-way CPU workstations. As for future profits, the XEON is a key pillar in Intel's new segmented market approach. It will provide Intel with a high performance/high margin processor configuration in a segment with no x86 competition. The relative high prices of XEON CPUs are actually quite LOW compared to their real competition - Alpha and UltraSParc CPUs/workstations. Paul

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