Tony,
I am beginning to see similarities between this $1000 PC phenomena and the Pentium FDIV thing a few years ago. As you recall, Intel downplayed the FDIV problem initially. The media and the competition, however, raised the issue to a fever pitch and caused Intel to address the issue according to what they figured is the correct way to handle it. What Intel has learned from that scenario, IMO, is that when the consensus opinion is convinced that a problem exists, than Intel has to address that problem head on, whether Intel feels that the issue is relevant or not. Consequently, Intel has been changing its tune in recent weeks concerning the $1000 PC. I do not believe that just because Intel is addressing the issue, it is admitting to a "strategic" shift in th PC industry, as many "pundits" would like us to believe.
In retrospect, Intel was right about the FDIV problem both on the impact to the consumer and on the companies fortunes, and I think that this situation with the $1000 PC will play out the same way.
Cheers.
SK |
