Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: Process Boy who wrote (90011)	1/28/2000 8:44:00 AM
From: Kevin K. Spurway	Read Replies (1) of 1574438

Re: "To be this smart, Intel would have had to make decisons regarding outlay of capital a matter of YEARS ago." One of the things a successful monopolist does in order to remain successful is to keep excess capacity available for these types of situations. The cost of the excess capacity is subsidized by PART of the monopolist's higher-than-market profits. The reason monopolists make this choice is so that their customers never have any reason to go out and cultivate second sources. That's how you stay in business as a monopoly (a nice situation to be in). Intel messed this up. Kevin

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