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Technology Stocks : Intel Corporation (INTC)
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To: Sarmad Y. Hermiz who wrote (183946)4/3/2006 3:25:48 AM
From: etchmeister  Read Replies (1) of 186894
 
I believe there's contradiction among the AMD community;
on one side side they bash Intel for excess capacity while praising AMD for outsourcing.
1.) short and mid term there is/was no choice for AMD to add capacity but renting capacity from second source
2.) CHRT toolset is different from AMD; therefore transfering a (65nm)process is far more risky compared to owning capacity and doing a "copy exactly" a la Intel.
Amazing how CHRT is now ready for 65nm while AMD is still struggling - the technology transfer should come from AMD to CHRT

The problem with this answer is whether outsourcing leading edge products actually works out ?
Unless a company is truely fabless (like NVDA) one would never source out leading edge - why share the "edge" with a second source - you do the development work and than hand it over to a contract manufacturer?
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