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Technology Stocks : Intel Corporation (INTC)

INTC 36.34

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Dec 23 3:59 PM EST

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To: Dan3 who wrote (154410)	1/9/2002 12:31:08 AM
From: Dan3	Read Replies (3) of 186894

P4 motherboard shipments to fall 20% short of targets due to chip shortage Charles Chou, Taipei; Christy Lee, DigiTimes.com [Tuesday 8 January 2002] Taiwanese motherboard manufacturers said that shipments of Pentium 4-based motherboards are expected to fall 20% short of their original targets in January and February, despite Intel’s confidence that it will be able to resolve the processor shortage in the first quarter. Although Intel has increased production and continued slashing prices for 1.7GHz and faster processors to ease the shortage, motherboard makers said that they still do not have enough processors. They expect Intel will not be able to completely fulfill their orders until the end of the first quarter at the earliest, which will not help their first-quarter shipments. According to Intel’s distributors, Intel manufactured more than 12 million Socket 423 and Socket 478 P4 processors in the fourth quarter of 2001. However, P4 motherboard production reached 15 million units for the same period. The P4 shortage has not only raised inventory levels of motherboard and PCB makers, but also resulted in tentatively tight supply of Socket 370-based chipsets, as board makers turn to produce Celeron-based products for substitution. digitimes.com

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