Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: Tenchusatsu who wrote (63412)	6/25/1999 9:42:00 PM
From: Kevin K. Spurway	Read Replies (1) of 1571423

1) I think the Intel brand name is worth about $10 a chip (see a previous post of mine). But it isn't what I think that matters here. It's what the brainwashed consumer thinks. 2) Initially I'd guess the Athlon motherboards could cost up to $50 more. Remember how high slot 1 boards were for a while after they first came out. 3) This question is irrelevant. If I'm Company A and I manufacture Product X for $10, and you're Company B and you manufacture Product X (same product) for $20,, if Company A prices Product X at $25, then Company B will have to follow. Manufacturing costs are irrelevant. 4) According to you, the average consumer would pay more for the PIII than the Athlon because of branding (minimal value) and reliability (pure FUD). 5) Should be pretty clear that AMD is not trying to fight a price war. The branding situation and the Intel FUD, coupled to more expensive infrastructure costs, the initial need to incent OEMs to use the product, and the value of Intel-subsidized advertising which should be offset against the PIII pricing make AMD's listed prices look pretty reasonable to me. Kevin

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