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Technology Stocks : Intel Corporation (INTC)
INTC 35.75+3.6%Nov 24 3:59 PM EST

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To: Investor A who wrote (45991)1/18/1998 8:59:00 PM
From: Dale J.  Read Replies (1) of 186894
 
re: <<AMD is crashing to its bookvalue now. The same thing would happen to INTC when end users are satisfied with the performance from sub-$500 PC.>>

Investor-A:

I agree that AMD and Cyrix pose a threat as far as pricing pressure. But Intel will compete in the sub-$500 market. Intel takes a long term approach. They will not leave the low-end for AMD/Cyrix to flourish. As long as AMD and Cyrix can't compete above the $1,000 market. Intel will make the money in that segment while squeezing AMD/Cyrix at the low end. AMD has already sounded the alarm that cash is running low. Dale
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