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Politics : Formerly About Advanced Micro Devices

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To: Elmer who wrote (89352)1/25/2000 12:18:00 PM
From: hmaly  Read Replies (2) of 1580262
 
Elmer..

Have you ever bothered to look up the definition of a price war. According to my New World dictionary "price war a situation in which competitors selling a certain commodity successfully lowers prices, as to force one or more competitors out of business."

Do you really feel that Intel or any other competitor will be forced out of business because AMD lowered prices on their high mhz business? Get real. I would hope all members of this board would agree that when we talk about items we use the proper definition; i.e. according to a definition in a dictionary,encyclopedia etc. Elmer's official definition as defined by himself doesn't make it official. Also you claim to be an engineer, you should know how to run a spreadsheet. Don't take my word for it. Run the numbers. By lowering prices on the high mhz chips, and raising demand, AMD will sell a higher percentage of high end chips which have a higher asp, which will increase profits.
On the other hand Intel's successful lowering of prices in the low end market with celerons earlier this yr. did cause some competitors to go out of business. That's why Intel was waging a price war when Intel lowered prices and Amd is not.
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