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Technology Stocks : CYRIX / NSM
NSM 18.270.0%Jul 31 5:00 PM EST

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To: AB who wrote (33076)8/6/1999 11:35:00 AM
From: Joe NYC  Read Replies (1) of 33344
 
Anthony,

I think Via got Centaur for next to nothing. They seem to be committed to competing in this market. I think they bought Centaur in order to eliminate a competitor for very little money and in process acquire skilled engineers. Another variable was probably the fact that Centaur was clearly on the table and someone else with deep pockets might have acquired it to compete in the low end area.

The low end is a tougher place to make any money than ever. With Intel selling Celeron 366 for little over $60 there is not much that an unknown competitor can do. You have to sell for probably 1/2 of Intel price, and I don't think it is possible to make money selling CPU's for $30.

Joe
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