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Technology Stocks : Compaq

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To: Kai-Uwe who wrote (6717)10/16/1997 12:21:00 AM
From: Douglas Perkins   of 97611
 
Kai,

Thank you for the kind words. I'll do my best to post all I can find.

The cyrix sub $1000 is a somewhat flawed design and I expect it to have a relatively high failure rate after 1.5 years of use. Cyrix is using Intel support chips and running the motherboard at 80MHz - hence the seemingly fast system speeds for a low price. Cyrix has always pushed the envelope of clock speed to gain an apparent performance edge.

The problem is pushing clock speeds results in hot running chips (the old second law of thermo dymanics - some energy is lost in every transaction which is then released as heat). Hot running chips die young. This is why fast mainframes require liquid cooling. Cyrix systems usually die young and some of their systems simply shut down in warm offices (some are sensitive to even a 5 degree room tempurature change). Cyrix will have to stop pushing the speed limits and concentrate on long term reliability before I'll buy one.

The memory speed limit is going to haunt Intel as it will really limit the advantage of the Merced chip. That's why Intel is working so hard to raise the memory speed limit. I think Intel will win in the end, but first to market with a high speed memory motherboard wins the big $$$$.

Doug
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