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Technology Stocks : Intel Corporation (INTC)
INTC 50.59+4.9%Feb 6 9:30 AM EST

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To: Wowzer who wrote (4247)10/15/1996 9:53:00 AM
From: Michael Olsen   of 186894
 
Price cuts.

I was unable to find the replay of the conference call, but I understand that Intel decided to proceed with November price cuts. This penalizes all those OEM's that bought up now for the fall season, and may tick them off. Usually Intel doesn't surprise its OEMs like that.

It also means that they will clear out Pentium inventory in time for MMX.

Odd strategy, but it could reduce Intel's pricing credibility in the future.

Michael Olsen
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