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Politics : Formerly About Advanced Micro Devices
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To: maceng2 who wrote (79779)11/12/1999 8:02:00 PM
From: Gopher Broke  Read Replies (1) of 1586250
 
The market will not change fundamentally overnight.

Increased competition means that ASPs will fall across the entire processor performance range, by a substantial amount.

Demand will not increase by the same proportion.

Therefore there will be significantly less money in total spent on processors next year.

Assuming that Intel continue to dominate and take 95% of the cake next year, it is a cake that is half the size.

It seems inevitable that Intel's profits will be drastically reduced.

Where is my reasoning incorrect?
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