Elmer, Re: "How is AMD going to suddenly bring up .13u when .18u yields so badly?"
Whether AMD has good or bad yields, it doesn't matter. They will still be able to produce more CPUs than they do now, and if Intel doesn't cleverly market the Pentium 4, then they really will lose ASPs. One positive thing is that we know that Intel can hurt AMD to the point where they give up market share for revenues. But AMD's .13u process will be a big cost savings for them, and allow them to break even at lower prices. I also felt strongly positive about their comments on server infrastructure. They are getting the design wins, and it's only a matter of time before a major tier-1 OEM picks up on that. Intel is simply going to have to deliver products that beat AMD's, and they'll also need the cost structure to make a convincing argument about their architecture. Northwood is the first step, and from the tone at the AMD conference, they seem ready to give up on the desktop market, and give Intel a lot of market share back. Where they will profit is from gains in the higher margin server and mobile areas, where Intel still seems to be stumbling. And when it gets to be Hammer Time, Intel better have something, or else.
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