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Politics : Formerly About Advanced Micro Devices

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To: Charles R who wrote (62726)6/22/1999 9:49:00 AM
From: Cirruslvr  Read Replies (2) of 1577883
 
Chuck - RE: The Forbes article

I find those prices interesting.

Athlon 600MHz - $686
Athlon 550MHz - $459
Athlon 500MHz - $298

According to Firing Squad's now-out-dated (because of CuLatermine DELAY) pricing roadmap firingsquad.com -

On July 19

PIII 550 - $658
PIII 500 - $423

And when the PIII 600 comes out - $824

So it looks like AMD is pricing the Athlon at $30 more than Intel's one speed-bin less PIII. This could be done to offset the higher cost of motherboards because the first ones will probably be expensive AND to make K7 systems cost less. For example, the K7 550 will cost $200 less than its counterpart. These are compete guesses, but maybe $50 could be to offset the cost difference and $150 for to make the system cost less.

But when Intel announced the DELAY, they said they would have earlier price drops. I doubt they will drop the price of the 550 $200 to price it against the K7 because the K7 will be low volume for a while and also because that price would screw Intel's ASPs.

People have said the AMD won't be making too many 500s. If we try to calculate a rough estimate of Athon ASPs

production %

500 - 30%
550 - 60%
600 - 10%

We get $433.

Anyone have better, non-completely random estimates?

Another thing that stuck out in that article -

"Wholesalers and motherboard makers in Southeast Asia say there are more than 2 million to 3 million AMD chips floating around and the company's latest price cuts are a desperate act to ship more chips."

So that confirms there is a glut of K6-Xs in Asia and possibly AMD.

This thing to -

"AMD recently introduced a K6-3 running at 475 MHz, which is selling for $402 a chip. Analysts estimate that it costs AMD somewhere between $30 and $60 to make a chip, depending on the chip type."

We don't know anything officially about the 475.
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