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Technology Stocks : Intel Corporation (INTC)
INTC 35.53-1.1%Nov 14 9:30 AM EST

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To: Paul Engel who wrote (51629)3/31/1998 10:30:00 AM
From: Burt Masnick  Read Replies (5) of 186894
 
Paul - AMD price has exploded to the upside lately on rumors of better yields to two minor investment houses (why would yield info come from them and not the major houses?) Also one of the quotes was a little odd. They talk about yields of "up to" 80%. That might have been the result on one wafer or a specially nurtured set of wafers. It is very important for AMD to have good press for the next few weeks because they have to get some financing done. They have a big payment coming up next month on old debt. I am a little sceptical about the yield improvement, but you never know.

On another front, the L2 cache is real important in speeding up processor performance.

INTEL'S NEW CELERON CHIP, the low-end
processor aimed at the sub-$1000 PC market, has
failed to live up to even modest expectations in our
PC WorldBench testing. In this exclusive report
from our upcoming May issue, a 266-MHz Celeron
test system performed significantly poorer on
business applications than similarly configured
systems from AMD and Cyrix. In fact, the
266-MHz Celeron system just barely kept pace
with a Pentium MMX-200. Has Intel made a major
misstep in its low-end chip strategy?

My guess is that Intel is rushing to add some L2 cache to celeron as fast a possible. They still may get decent sales, but it doesn't help to get a performance black eye when they need to maintain an image of excellence to justify the Intel Inside campaign.

Never happy to see negative news for Intel, but this might be a rough quarter for INTC. We'll know more after the cc.

Best regards,
Burt
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