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Politics : Formerly About Advanced Micro Devices
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To: Paul Engel who wrote (32356)5/3/1998 2:18:00 PM
From: Brian Hutcheson  Read Replies (2) of 1571680
 
Paul , re. please explain how AMD will post their 4th consecutive loss
First of all you are assuming this quarter will be a loss , that is too early to tell .
The reasons for the previous losses should need no explanation to a brilliant man like yourself .
The reasons were twofold , lack of volume and lack of pricing power .
Both were caused by AMD's low yields on .35 process .
As of Jerry Sanders report on Apl 30 , the wafer starts are now ALL .25 process and are ramping up quickly .
As of the 28 May , the K6-2 will greatly improve the ASPs .
AMD's chart indicates the profitability will return very soon .
Brian
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