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Technology Stocks : Intel Corporation (INTC)
INTC 36.78+2.7%Nov 26 3:59 PM EST
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To: Road Walker who wrote (108258)8/24/2000 8:03:25 PM
From: andreas_wonisch  Read Replies (2) of 186894
 
John, Re: The one thing about the AMD price cuts that concern me, they have effectively cut their highest speed parts from the $1000+ range down to the mid $800.

Before the release of the 1 Ghz Athlon AMD never had such high prices, even on their best performing Athlons which held the speed crown or were equally clocked with Intels latest Coppermines. For example in February AMDs highest Athlon was clocked at 850 Mhz and sold for $800. When 800, 750, 700 etc. Mhz were the highest clock speed the price tag remained roughly the same and never reached $1000.

We all know that both AMD and Intel had to make some sacrifices for the race to 1 Ghz -- and the unusual high prices for the 1 Ghz parts were one of them. As of Monday AMDs highest clocked Athlon is again selling in the $800 range. And that's exactly the same as in all these months before -- except the 1 Ghz period mentioned above. And even for Intel such high prices are very unusual in the consumer market (Xeons are another story, of course).

Bottom line: AMDs pricing remains still the same. They just add new speed grades and move their sweet spot upwards. Probably up to 1 Ghz very soon. I really don't see any problems here because AMD is just doing what has been done since the introduction of the Athlon. Oh, and by the way: Intel is doing exactly the same.

Andreas
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