Intel Corporation (INTC) Message Board

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Technology Stocks : Intel Corporation (INTC)

INTC 50.88

+5.4%

12:04 PM EST

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To: Kashish King who wrote (14734)	3/19/1997 3:01:00 PM
From: mauser96	of 186894

Eventually computers (at least the desk top version ) will become a commodity. The question is when. The personal computer business is so new, and has so much room for rapid change that commoditization is many years away. Even when it arrives, Intel will still be in a position to make good profits. Despite being in a 100 year old industry, many auto makers are still profitable. I agree that multimedia and speech recognition will stimulate demand for faster computers and that Intel will more than hold it's own. I suspect that there will be pressures on margin and this may slow Intel earnings somewhat in the short run. The challenge for Intel is to grow the market and sales enough to compensate for a reduction in the 60+% profit margin, which I think is unsustainable .

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