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Politics : Formerly About Advanced Micro Devices

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To: Jim McMannis who wrote (89838)	1/26/2000 7:58:00 PM
From: Petz	Read Replies (1) of 1572508

DELL blames CuMine, but says its loyal to Intel: yahoo.cnet.com In the call, Dell said its bottom line was essentially decimated by shortages of Intel "Coppermine" high-end desktop processors. Running at speeds of up to 800 MHz, the chip shortages hit Dell squarely in some of its most profitable products. The chip shortages caused several problems for Dell. The company was unable to deliver on products it had featured in marketing and promotional spots, it was unable to sustain volume sales during the peak holiday season on high-profit products, and as a result, the company's operating expenses were a much higher ratio to profits than usual, according to Meredith, who said the chip shortages would cost the company 3 cents per share in bottom-line earnings. "On the processor side, we are completely Intel at this point," said chief executive Michael Dell in the call, squashing any possible speculation the company would immediately switch to AMD because of the poor quarterly performance. "The transitions we've just gone through are quite challenging for our company and our partners. But I don't think we should take a rash action based on a difficult transition." Petz

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