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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 207.67+2.2%Jan 12 3:59 PM EST

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To: economaniack who wrote (219802)12/9/2006 11:16:40 AM
From: TenchusatsuRead Replies (1) of 275872
 
Economaniack, > IE has 0 (zero) marginal cost, and Microsoft has a monopoly on the PC operating system, so they could bundle them together, charge whatever they wanted and "give" away IE while making whatever profit they wanted.

a) What's the marginal cost of a Windows CD-ROM? Heck, what's the marginal cost of an application that you pay to download?

b) Why is the Microsoft monopoly mentioned like it is a fact of life, while the alleged Intel "monopoly" is discussed on this thread like the worst thing that could ever happen?

c) What's stopping Intel from just "giving" away the chipset and graphics as a bundle with the CPU? (Not saying that Intel would do it, but they could and so could AMD.)

Like you said, the basic architecture of the PC itself has become a battleground. Why wouldn't the pricing models itself change just as fast as the PC architecture?

Tenchusatsu
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