Intel Corporation (INTC) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Intel Corporation (INTC)

INTC 44.06

-3.2%

3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: The Duke of URL© who wrote (178668)	7/16/2004 1:01:42 PM
From: robert b furman	Read Replies (3) of 186894

HI Duke, While being interviewed on Bullseye (CNBC) he said that seasonal demand slowed exactly as expected during Q2 - "Off 4 %". The earnigs release highlighted an increase in chipsets.So the issue of demand was taken out of the inventory problem. He directly took the inventory level to a problem he'd have to work out of for the rest of the year.He attributed the problem to an increase in yield and the starting of too many wafers which wasn't adjusted until the start of June. I don't think this should be difficult for anyone to understand. Intel's dominance over the years is the result of manufacturing efficiency and the nonstop persuit of continuous improvement. Intel has had some slow and now some fast improvements. They also have stumbles - especially as their new products seem to grow in number. Intel is doing what they do best. Keep in mind that they are accomplishing these yield breakthroughs with state of the art Fabs that are recently coming off Pilot staus. Intel was first to go 300mm and now they are in production stage 90nm.They are in uncharted waters and I believe will amaze most observors as to how well these almost cost prohibitive plants can churn out product. I believe a year from now when the efiiciencies are proven and understood - Intel will have a huge manufacturing advantage on all but 2-3 others giants (Infineon,Samsung,TI) and the rest of the competitors will be rushing to duplicate what Intel's leadership has proven. Of course the margins always go to the intial leaders and the followers have late investment cycle timing and commodity pricing to fight thru. Intel is in a most enviable situation. When they hit 10 billion and maintain 60 % margins + or - a couple of points and the are including WiMax in all of their chips as a standard feature, all the dounbters now will be in love with Intel. Intel's biggest problem will be global claims of antitrust pricing and monopoly problems. JMHO Bob

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next