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Politics : Formerly About Advanced Micro Devices
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To: Petz who wrote (30406)3/30/1998 1:24:00 PM
From: Brian Hutcheson  Read Replies (1) of 1572157
 
Petz , re. 25% equity stake in AMD
I have very little doubt that this is true .
Why ?
There was a reason that both Compaq and IBM chose to go with K6.
They never want to go back to an Intel only scenario since Intel made themselves very unpopular with all the PC cos by their arrogance
and their price fixing .
Both Compaq and IBM would have a benefit for buying equity in AMD .
1. ensure that competition remains.
2. By selling AMD's products they can reap a reward in 2 ways :-
From sales of K6 series PCs and in the appreciation of AMD's stock as their sales benefit AMD's bottom line.
When the equity placement filing was announced Greg could only see the negative side , he did not foresee that this could be a private placement with these companies .
Brian
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