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Technology Stocks : Intel Corporation (INTC)
INTC 36.91-1.1%Dec 31 3:59 PM EST
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To: pgerassi who wrote (139685)7/19/2001 5:19:52 PM
From: Mary Cluney  Read Replies (1) of 186894
 
Dear Pete: <<<You notice the price for 1GB of ECC SDRAM? $11,000. Do you think that the memory supplier vendor gets all of that? A substantial fraction? That amount of memory is available from Crucial (Micron) for $503.09 plus shipping (today's price straight from their web site). >>>

I couldn't verify this number. Something doesn't smell right. Micron must be run by Morons if they allow OEM's to mark up their product by 2200%. Third party resellers of CPQ will also have their mark up. On the small chance that you may be right about this, that would be a ridiculous exception to the rule.

I know you are trying to tell us that OEM's markup products they acquire from manufacturers. I think we all know that. But beyond that you are insinuating that the OEMs are worse than drug dealers in their mark up practises. But, that is just a generalization.

I am deeply impressed that you can come up with examples of systems where the cpu cost less than 2% - that is not inconceivable. What does that have to do with the fact that that is not typical of what our discussion is all about.

In case you have forgotten, your contention is that the cpu cost in relation to the cost of a total server configuration as shipped by a manufacturer that is tracked by a neutral industry observer (IDC) is less than 2%. I contend that it is more than 25%.

There are 4M such servers shipped each year. You don't really have to give me more individual examples of where you could be right. That's really not necessary.

Mary
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