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Technology Stocks : Intel Corporation (INTC)
INTC 35.92-0.1%12:56 PM EST

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To: Paul Engel who wrote (100184)3/3/2000 7:22:00 AM
From: Road Walker  Read Replies (2) of 186894
 
Paul, RE: "Intel Corp. will formally launch its 1-GHz Pentium III microprocessor March 8, according to OEM sources. The launch, to be backed by Dell Computer Corp., Hewlett-Packard Co., and IBM Corp., will almost certainly come in the form of limited-production "special editions," according to sources briefed by Intel. PCs using the chips will feature specially designed motherboards with larger heat sinks to accommodate the faster processors."

I wonder if the Intel folks read this thread, and sometimes use ideas presented here. Some of the stuff I wrote in a post on 12/18 concerning the limited release of the 800 MHz:

<But I also think there is some opportunity in announcing products before there is abundant supply. The profile of the end user that would buy an 800 megahertz computer at introduction is a REAL early adapter, someone who would pay whatever it costs to have the latest and greatest. This person is not concerned with price/performance, they have to have a faster chip than the guy (or girl) next door. The fact that there is limited availability actually makes the produce more appealing.

Intel could consider the following if they stick to their current strategy of early release:

- Raise the price, but lower the minimum order, and allocate small numbers to as many box makers as possible. They would then have wider distribution, but consumer would have to buy now before the reseller ran out, creating a sense of urgency. (this could also piss off the biggest customers, Dell comes to mind)
- Advertise/promote the product as limited in supply, almost like a limited edition. Feed the feeling of the early adapter that they can be the first on their block to have something unique.
- Time the release of the next latest, greatest MP so that it is at the same time as they have good supplies available, and lower prices for the current greatest MP. That way there is always an exclusive product on the market.

They might even call it the Intel Pentium III 800LE (for limited edition). Later, drop the LE.

The purpose of marketing is to add value to your products, within the framework of your manufacturing and product development abilities. This might work.>

OK, the 1GHz release is not exactly what I suggested. But limiting the release to the retail consumer, calling it a "special edition", is in the same spirit, with the same intentions, adding perceived value to products that are in limited supply.

Message 12326623

Probably I'm giving myself too much credit, or not giving Intel enough credit.

John
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