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Technology Stocks : Rambus (RMBS) - Eagle or Penguin
RMBS 106.06-0.8%Dec 11 3:59 PM EST
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To: Ian@SI who started this subject9/29/2000 3:49:52 PM
From: sylvester80  Read Replies (3) of 93625
 
Intel responds on Pentium 4 and Timna.

news.ft.com

On Pentium 4:
"Intel's current focus is on its Pentium 4 microprocessor, which will become its mainstream desktop PC product. The company denied reports that chip had been delayed by several weeks. It said the planned fourth quarter introduction was on schedule."

On Timna:
"We talked with our customers and they decided that by the time Timna would be ready in the first quarter of next year, the cost advantage compared with using separate chips would be minor," Intel said.

Linley Gwennap, principal analyst with The Linley Group, a US microprocessor market research company, said that Timna would have flopped if Intel had gone ahead with production.

"Intel has essentially acknowledged that the demand for the chip was close to zero," he said.

Mr Gwennap added that when Intel began work on Timna two years ago, the trend in PC markets was toward sharply lower prices and it seemed that $400 PCs would be selling in large volumes by 2000.

At such low price points, an integrated chip such as Timna would have saved PC makers a significant amount in manufacturing costs.

But the sub-$500 PC market failed to become a large segment of the overall PC market.
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