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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 238.54+2.9%11:46 AM EST

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To: bobs10 who wrote (218407)12/1/2006 7:03:58 PM
From: Joe NYCRead Replies (1) of 275872
 
Bobs,

To me gaming machines will have a very difficult time competing with PCs especially as PC prices continue to plunge and decent integrated graphics become incorporated with the CPU. It's hard to see how game makers can begin to compete with PCs on a cost basis.

I think the consoles, being totally idiot proof, have certain advantages. Also, the approach of paying little for razor blade holder, and charging more for the replacement razor blades is appealing to certain demographics.

As far as prices, the cheap PCs have integrated graphics, which really stinks for playing games.

Yet another variable is that for the lower economic echelons, the TV is their life, they invest a lot of their money in ok TVs, and if you plug a console to a good TV, you get good picture quality.

OTOH, if you take a cheap PC with integrated graphics, plugged into a cheap monitor, the outcome is not that great.

So the PC does not have the console beat just yet.

Encouraging sign here is the next get integrated graphics from ATI, that is going to raise the bar for integrated graphics to a new level. Anothe good thing is that AMD owns it now, and good integrated graphics may be a tool for AMD to compete in some markets.

Joe
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