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Technology Stocks : Compaq

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To: Jim McMannis who wrote (8513)11/4/1997 1:04:00 AM
From: Kai-Uwe  Read Replies (2) of 97611
 
Maybe I wasn't clear enough in what I was saying earlier:
in addition to low-voltage you als have a problem with crammed space on a notebook PCA. The problem with the non-TAB micro-Ps in addition to the heat (point well-taken with the MediaGX being good in that area) is that they eat up space.

A TAB micro-P is about 2.5cm * 2.5cm in size - I don't know the exact dimensions of the MediaGX off-hand, but it should be equivalent to the intel Pentium P54, which is 5.5cm * 5.5cm, with heatsink about 7cm * 7cm. That's a HUGE difference in space required.

Don't get me wrong; I'm not trying to talk down the others (AMD/CYRX). However, as I am ultimately a realist at heart it does not seem very apparent that there will be large numbers of Portables coming out with alternate micro-P sources.

Basically, here intel will win on two charges:
- price on one hand, as it has a HUGE material cost advantage (STRONG marketing point)
- from a design standpoint (which will translate into cost eventually)

Again, I am as far away from being a gung-ho intel supporter as can be, but here, from technical and marketing aspects, one has to give them the credit they deserve.

If CYRX wants to invade the Portables arena they will have to provide a really comparable alternative to the intel chip at lower cost, which will be hard to accomplish. If they are on par name me one mfger that will willingly risk losing their good business relationship with intel in this relatively high-margin Portables business for the sake of being able to offer a product that may only be up to par, if that much, to the intel-powered machines.

Look at how many major mfgers are offering CYRX/AMD-powered desktop machines: I can't think of too many... It will take even more expertise to produce a fully-working notebook than it does to build a desktop!

K.
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