From today's WSJ:
Intel Sees $1,000 PCs With MMX Chip Available By 4Q
By Christopher Grimes
NEW YORK (Dow Jones)--Intel Corp. (INTC) officials sought to quell concerns about the production of its new line of Pentium II chips at a meeting with analysts Tuesday.
While demand for the company's new line of microprocessors has hurt sales of its older chips, the company said it will be able to keep up with production of the new products while liquidating the old.
''I think we're doing a pretty good job of producing the new product,'' said Paul Otellini, who heads Intel's worldwide sales and marketing unit.
He also said the company will be able to liquidate its older chips.
''The first-quarter shipments of the older series of chips declined sequentially and we would expect that to continue to go down relative to our new product (introductions),'' he said, adding that ''contractual agreements will continue to demand the older products for some time.''
Intel officials also said the company intends to make available chips with its multimedia MMX capabilities to the under-$1,000 PC market by the end of this year, while noting that designs are not final.
''You're never going to get for $1,000 what you can get for $2,000,'' Otellini said.
Responding to analysts' questions about the possibility of an antitrust suit from Digital Equipment Corp. (DEC), Intel Chairman Andy Grove seemed confident. The company has been through ''a half dozen antitrust suits and the government has given us a clean bill of health,'' Grove said. ''I don't believe these results are accidental.'' |
