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Politics : Formerly About Advanced Micro Devices

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To: Brian Hutcheson who wrote (26895)12/18/1997 6:12:00 PM
From: kash johal  Read Replies (5) of 1573898
 
I did not uderstand the math 140/380*$70= $25.75???

The manufacturing cost of an 8 inch wafer in 0.25 micron is about $800-1000.

Assuming a conservative 30% yield on 380 gross die give over 100 good die per wafer or a die cost of <$10 by my math.

In fact the packaging test costs will exceed the die costs. My best estimate would be for a unit cost for finished 0.25 micron K6 will be in $20 range.

As oversupply hits then we could see very low processor prices dipping into $30-$40 range next year.

IMHO we will be having the mother of all acclerated price cuts by Q3 98.

Best regards,

Kash
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