Intel Corporation (INTC) Message Board

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Technology Stocks : Intel Corporation (INTC)

INTC 34.50

+2.6%

Nov 21 9:30 AM EST

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To: AK2004 who wrote (129540)	3/8/2001 6:45:24 PM
From: Saturn V	Read Replies (1) of 186894

Ref < AMD is holding sufficient number of long term agreements to be comfortable or at least as comfortable as one can get in this environment. > Long term contracts are no panacea. In oversupply situations customers find enough wiggle room out of long term contracts, or pay a penalty for deferred delivery. Typical tactics for wiggling out are claiming that the product does not meet "spec", even though the same spec part has been in use for several years. [ Suddenly a customer specific spec is waived with some some meaningless parameter which was not met for years ]. However the customer is more cautious doing this for a sole source product because customers employing this tactic will not be treated well when chips are in short supply again.

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