RE <<<<Yes, Atiq Raza is gone, but I remember hearing Jerry Sanders repeating that exact same quote a couple of weeks later. Anyway, Atiq said that quote, "Profits are a good deodorant, but we stink" in reference to execution troubles between Intel and AMD. He was saying in fact that Intel also has its fair share of problems, but because they make a lot of money, the public is willing to forgive Intel more than they're willing to forgive AMD. (I must admit, though, that a lot of problems have been hitting Intel in the last few months, a lot more than I feel comfortable with.)>>>
Ten, I knew what it meant; I had heard the expression before. I guess I don't like it. Besides, in my experience, profits can only hide the smell for so long.
RE <<<Right now, AMD's booming Flash business is serving somewhat as a deodorant for them, since without it, they wouldn't be hinting at a break-even 4th quarter. That was my point. Of course, once Fab 30 gets going, then the real money starts rolling in. But as of now, even though AMD is ramping up Athlon speeds a little faster than I expected, their MPU business is still losing money, which was Elmer's point.>>>
I don't think you are completely right on this issue. Flash has been contributing positively all year and prevented the numbers from looking worse. But its the advent and rampup of the athlon which seems to be making the difference, getting AMD to breakeven and beyond. Certainly flash and to a lesser extent, the communications group, make their important contributions but its the upgrade in MHz which, I think, will put it over the top. As for Elmer I feel his bias impairs his objectivity.
What I never expected in June when I bought AMD, and what is blowing me away now, is that I am actually making a decent profit on the stock. AMD must be doing something right.
ted |
