Fred -
I agree, 100 %
If one looks at PC contents and analyses competition for each component, why Intel dominates will become clear.
(the table may not come out OK)
Contents Major Supplier Competiton
1) Micro Intel non existant (amd has 75 Mhz pentium equvalent, when Intel is about to roll P7. Cyrix, NexGen are about the same level as AMD and do not have marketing might to match Intel) = $ 100-200
2) DRAMs MU, TI Every Japanese Korean Eletronics co and now Taiwanese are fighting for 16 MB * $ 10 = $160 woth of DRAMs in our PCs,
3) HDD Consolidation in the industry makes Seagate a major player, but WD and Quantun will keep them honest, $ content about $140
4) CD roms, Modems etc. are more of a comodity, $100-200
5) Software - Guess Who, Microsoft, competition NONE - Content $100 atleast
6) Monitors - again comodity, most of the high end are Japanese, low end dominated by Taiwanese and Koreans.
7) Video cards - S3, C&T, Cirrus etc. no one dominating in 2D, VGA market. But these cos are better of than DRAM guys
IF THEY ARE SELLING millions of PCs every year, and Intel and MS have no competition they should DOMINATE and HAVE PEs in 20-25 range. |
