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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 214.40-0.3%10:19 AM EST
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To: that_crazy_doug who wrote (47642)7/16/2001 12:58:21 PM
From: Ali ChenRead Replies (1) of 275872
 
Doug, "You think the problem is AMD can't command high enough ASP's because of their marketing.

I think they can't command high ASP's because the overall supply of CPU's greatly outstrips demand"

And I think you both are wrong. The problem of AMD is
in poor platform/chipset engineering. All other
market problems are consequential. AMD cannot
command high ASP because their algorithm is:

a) first delivered platform is usually too "fragile";

b) usually the so-called "performance bugs" are of
last priority to fix, resulting in diminished
system performance;

c) as result, the system performance is not compelling
enough for OEM to make a decision of high-volume build;

d) when performance bugs are fixed, it is too late;
systems must be sold at discount, with heavy implications
on processor's ASP;

e) AMD promises to OEM a new improved platform;

f) GO_TO a);

- Ali

P.S. Corrections to the above algorithm are welcome <g>.
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