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Politics : Formerly About Advanced Micro Devices

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To: Eric K. who wrote (122699)	8/21/2000 10:25:25 PM
From: Road Walker	Read Replies (1) of 1578597

Erik, re: Hint: you are the one making assertions about the correctness and optimality of AMD's pricing. The original discussion was about demand. I don't believe retail demand will be strong through the 4th quarter, and I don't believe that AMD lowering prices will sell substantially more PC. I admit I could be wrong, in fact I've been wrong before in my life. If you want to follow the discussion, instead of changing the subject, look back at the previous posts. I mentioned that I wouldn't want to see AMD lower prices too far, because as an AMD stockholder, that could hurt the net margin, eps and stock price. I suppose you would like to see them give 'em away. re: "What does the actual number have to do with my assertion?" Your assertion was an ACTUAL NUMBER. "You have provided no argument for the optimal price point where any additional reductions in price of the 1 GHz processor would not increase number of sales enough to increase net profit. Instead, you presented a hollow and irrelevant argument about margins. According to your logic, SGI should be a wonderful company to own-- much better to make a huge amount per part than to sell more parts." Are you nuts? John

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