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Technology Stocks : Intel Corporation (INTC)

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2:47 PM EST

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To: Paul Engel who wrote (34667)	10/10/1997 6:05:00 PM
From: Joe NYC	of 186894

Paul, I think there will have to be a killer application that can only run under Merced in order for people to "roush out" and spend $2,000 for CPU alone. It will be popular for various servers (file, web, database, application) as soon as there is software that take advantage of it. Another question is how well will Merced run 386 code not optimized for Merced. If the performance is anywhere near 1:1, and there isn't a wealth of software optimized for Merced, $2,000 will be a tough sell for general public (100 M processors/year). By 1999 P-II should run at 500 - 600 MHz @ $500 and AMD / Cyrix (if they are still around) should be in 400 - 500 MHz range selling chips for $100 - $200. Joe

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