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Technology Stocks : Intel Corporation (INTC)

INTC 35.94

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3:59 PM EST

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To: Paul Engel who wrote (51980)	4/3/1998 6:54:00 AM
From: Maxwell	Read Replies (1) of 186894

Dr. Engel: In addition to their FINE product line, Intel will introduce the 266MHz Celeron system that "In fact, one Celeron system running WINDOWS Magazine's multimedia and other applications benchmarks lagged some 233MHz Pentium MMX systems by up to 20 percent." winmag.com Please comment on this product? Remember the Celeron is the same chip as the PII and I suspect that it is a 0.25um parts. If this product takes off then it will require lots of 0.25um PII and Intel gets less profit margin on the name Celeron than the PII. Intel has only 3 fabs running 0.25um and they are not even 100% converted to 0.25um and from last I heard yield is not even spectacular and the cycle time is not that great either. How can Intel with all the "brain powers" and all the "quality" and all the "cash" build a SIXTH generation CPU system that is WORST than the FIFTH generation CPU system? This is not very smart. Intel has spent billion of dollars polishing their "Intel Inside" image and this new fine product will probably kill it. Hope you take a long look at Intel's new strategy. Maxwell

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