Mr. Simons,
>>If Intel were to price the 333 PII below the K6, who would buy the K6?<<
If Intel were to price the 333 PII below the K6, probably no one would buy the K6. However, Intel's profit margins would be in the mud until they could force AMD out of business. Not only would this have a major negative effect on the stock price, but it would also strengthen the DoJ antitrust case. I believe that Intel will price competitively with the Celeron and Mendecino however, and will force AMD's ASPs down.
The best case for Intel, antitrust-wise is for AMD to survive but only compete on the low-end while the product mix shifts back up to $1500+ machines. At the moment, unfortunately, AMD is getting too far up into the mid-range market. According to Intel's roadmap, the Deschutes PII will top out at 450 MHz. AMD has indicated that they can get to 400 MHz by years end (whether you believe Jerry is another matter). This does not leave a lot of high end room for Intel. Next year, AMD may be able to catch up speedwise with the K7 vs. Katmai and Willamette.
We will see if AMD will be able to execute given their shortage of funds. It is certainly possible, though, that someone might take them over and continue the fight.
Richard |
