Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: Craig Freeman who wrote (76584)	10/22/1999 9:49:00 PM
From: Paul Engel	Read Replies (1) of 1585079

Craig - Re: '." Simple math therefore equates one PII chip with 13 CENTS worth of silicon. ..Paul ... in your opinion, is the author correct?" NO !!! The RAW silicon cost is NOT the COST to produce a silicon die. The Production cost only BEGINS with the raw silicon as it is obtained form a Silicon Supplier. The wafer fab processing (within Intel's fab) required to turn a raw SILICON WAFER into an array of Pentium/II/III die costs anywheres from $1500 to $3000. It's like saying the raw amount of steel that is in a Mercedes only costs $350 to fabricate - therefore it only costs $350 to make a Mercedes ! Uh uh ! Paul

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