Advanced Micro Devices - Moderated (AMD) 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 : Advanced Micro Devices - Moderated (AMD)

AMD 236.73

-6.1%

Jan 30 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: I_Banker who wrote (138207)	10/29/2004 10:46:14 PM
From: The Duke of URL©	Read Replies (2) of 275872

I know you pride yourself on your ability to be analytical, but you and Dan3 don't really understand how fixed and variable costs work, or maybe you just refuse to understand, just to win the argument. You do remember the issue don't you? It was generally how Intel would fair in a price war with AMD. Look at it from this angle. Fixed costs are just that, FIXED. So it don't friggin' matter whether a Dothan costs 10 dollars or twenty or even thirty. If they cost 30 and that number (as a variable cost) is less than AMD's cost, then they can put AMD out of business, if they choose. You see, the fixed cost is fixed, so if Intel makes a dollar on each chip then that is one dollar more toward the FIXED costs. That is considered a profit to intel ON THE SALE. All Elmer has to say to win his argument is that AMD's 200 wafer plant or their rented plant, has a higher variable cost than Intel's 4 Brand new 300 wafer plants. Nes Friggin" Paw? Sometimes a sharp rude insulting post like yours is not sufficient to actually make good reasoning.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next