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Technology Stocks : Micron Only Forum

MU 236.48

+2.7%

Nov 28 9:30 AM EST

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To: Jeff Leader who wrote (28049)	2/9/1998 12:31:00 AM
From: DavidG	Read Replies (1) of 53903

Jeff, As for 'yield' - parts are tested and are 'binned' into the highest frequency they pass. Intel's tests (and test environment) is probably more rigorous than the average PC encounters. Occasionally, parts must be 'down-binned' or marked slower than they are, to meet demand for lower-speed parts. However, manufacturers understandably hesitate to do this as it costs them money. This is not true. Intel is definitely marking down their chips just because their yields are so high and they are not willing to give the consumer something for nothing. They also take precautions to prevent users from clocking to the higher speed by making a modification in the lower stamed chips, by disabling the higher multipliers. They have this situation with the MMX chips now as they had this problem with the 133 classic a while ago. Why do you think they are able to quickly reduce the price in the higher end chips and not lose money? It has absolutely nothing to do with the 10-15%competition of CYRX and AMD. They are just able to make these chips cheaper now with tremendously high yields. They could do it now with the PENTIUM IIS for under $1000 pc systems. They wait to the last minute and squeeze the maximum profit out of every product. DavidG

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