Combjelly, Re: "Here is a cost analysis I found. See slide 22. Note: since they make the distinction between costs and selling price"
They mislabeled the graph. Those are selling prices, not costs. Just look at Intel's price list, under the older, "October '01" prices.
intc.com
If those were costs on the previous page, that would imply 0% margin on all of Intel's processors, which we know is not true. Additionally, a 2.0GHz Pentium 4 should cost no more than a 1.9GHz Pentium 4. They are all just different binned speed grades, determined during the sort process, and they all come from the same cost wafers through the same cost manufacturing.
I'm guessing that a 2.0GHz Pentium 4, just like a 1.5GHz Pentium 4, probably costs less than $100 fully packaged and boxed. A single Itanium CPU, with OEM bulk packaging, probably costs in the neighborhood of $200. But even if I am off by a factor of 2x (which I don't think I am), that still makes every Itanium sale almost 90% profit.
wanna_bmw |
