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Technology Stocks : Intel Corporation (INTC)
INTC 35.94-5.1%3:59 PM EST
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To: The Duke of URL© who wrote (121091)12/7/2000 1:33:34 PM
From: Dan3  Read Replies (1) of 186894
 
Re: I belive That Intel's unit cost of production is Lower than AMD's

I believe this is true in terms of materials and labor, but Intel has a fixed overhead cost that dwarfs AMD's and Intel's non X86 business loses money while AMD's makes money. Bottom line is that Intel's breakeven point is at an ASP of around $140 while AMD's breakeven point is at an ASP of around $70.

Dan
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