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Technology Stocks : Intel Corporation (INTC)

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To: Joey Smith who wrote (40414)	11/15/1997 1:34:00 PM
From: Paul Engel	Read Replies (1) of 186894

Joey - re: "do you know when Intel will start making PII desktop on the .25 process (or have they started already)?" The Pentium II on 0.25 micron process is the Deschutes. The Deschutes is not a shrink of the existing Pentium II on 0.35 micron process because it has several architectural enhancements/differences and the layout is much different due to the extra layer of metal and C4 solder ball interconnects. The Deschutes has been operational for about 3 or 4 months - first silicon looked realy solid and needed only some minor tweaks. The Deschutes is currently being made in small volumes with the intent of having mnay tens of thousands of these in inventory by the end of this year. Also, the Deschutes has been heavily sampled to customers - I would look for many reports of "unofficial" Deschutes sightings at Comdex next week. Since the Deschutes can support full speed L2 cache as well as half-CPU speed L2 cache, it will be the basis of faster Pentium II devices in a Slot 1 configuration. The SLot II version may carry a different name and will support full CPU speed backside L2 cache as well as 4 and 8 way SMP configurations for server applications. Intel will not be making a formal announcement until after the ISSCC conference in early February 1998 where they will disclose technical details of the Deschutes as well as the 450 MHz SRAM L2 cache chips that will mate with this in the slot 2 package. A formal product announcement should follow later in the spring. As for per centage of 0.25 micron Pentium II/Deschutes - I'd guess that 30 to 40% will be in this process by the end of Q2/early Q3. Intel seems extremely agressive to transition entirely to Pentium II/Slot1/SLot II and the 0.25 micron is the key to get costs down and volume up in a hurry. Paul

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