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Politics : Formerly About Advanced Micro Devices
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To: Paul Engel who wrote (92151)2/8/2000 11:27:00 PM
From: Dan3  Read Replies (1) of 1574854
 
Re: Compaq's EasyPC !

I hope that's the best use for 154mm2 of precious wafer space.

Aren't AMD's packaging costs a few bucks higher on the K6-2?

I bet it doesn't begin to make up for the 81mm2 (K6) vs. 154mm2 (celeron) silicon cost.

And AMD is ramping production at .18 for the K6 series now. Intel must allocate all .18 production to the PIII for next few months. So AMD's cost advantage will increase.

It remains a good example of Intel hanging onto part of the low end market through brand recognition and being able to lose money in the segment to maintain market share - I would guess that Compaq is receiving a darn good price on the CPUs for those machines.

AMD appears to have decided to make money in that end of the market - and, given the relative costs of the chips, seems to be doing so despite the lower selling price of K6 vs. Celeron.

Dan
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