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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 231.80+1.7%Jan 16 3:59 PM EST

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To: wbmw who wrote (237558)8/7/2007 10:52:12 AM
From: TimFRead Replies (1) of 275872
 
On the other hand, I'll remind you again that my question is whether these parts are strong enough to make these divisions profitable. On the other hand, I'll remind you again that my question is whether these parts are strong enough to make these divisions profitable.

You asked that question, but the issue under discussion in the conversation you where responding to was was if they will provide additional revenue. The question probably should have been if they will provide additional revenue beyond the additional costs. As bnsbhat said (in two different posts) "Add to that the increase in revenue from ATI products and "Any additional sale in this segment will be positive.", not "any additional sales will make ATI profitable".

I think its reasonable to figure the answer to both questions is yes. Even if ATI loses money, if it loses less money than things are better for AMD than they used to be, and AMD's loss narrows. ATI doesn't have to be profitable to for AMD to be profitable, or more reasonably in the time frame being discussed for AMD to have smaller losses.
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