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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 215.11+0.1%Dec 24 12:59 PM EST

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To: Sarmad Y. Hermiz who wrote (193967)4/17/2006 1:10:17 AM
From: PetzRead Replies (2) of 275872
 
re: <Regarding "much higher pricing structure", can you give examples?>

Sure, in Q4, Intel had 78% of the CPU market (in units) and AMD had 22%. Intel sold 3.55x as many CPUs as AMD. But Intel's CPU revenue was 7.329B and AMD's 1.307B, a ratio of 5.6. Therefore, the average price of an Intel CPU is 5.6/3.55=1.58 times larger than the average price of an AMD CPU.

The ratio probably narrowed a bit in Q1, but we won't know that until Intel reveals their CPU revenue and Gartner and others chime in with their CPU market share estimates.

Petz
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