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Politics : Formerly About Advanced Micro Devices

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To: Gopher Broke who wrote (122561)	8/21/2000 2:19:37 PM
From: Road Walker	Read Replies (3) of 1576918

GB,0 re: "I just don't see why you think there is any possibility that Intel might drop their price substantially in the face of this level of demand." I never said that Intel would lower their prices, and that is irrelevant to the point. Most folks on the AMD thread seem to think that no matter how many microprocessors AMD makes, they can sell them, if they just lower the price. That's not true. Retail demand is finite, there will only so many thousands of PC's sold to consumers in the 3rd and 4th quarters. Consumer demand is slightly elastic based on price, but prices are going up or staying the same. Retailers are reporting soft sales. There are a lot of competitive products to PC's this year. I think retail PC sales will be flat or down vs. 1999. If Sony decided to manufacture twice as many TV's this year as last, do you think the consumer would buy them all, just because Sony made them? How about if Sunbeam made twice as many toasters? What's different about the PC industry? John

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