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Technology Stocks : Intel Corporation (INTC)

INTC 34.73

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2:36 PM EST

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To: Paul Engel who wrote (57206)	6/4/1998 11:33:00 PM
From: Paul Fiondella	Read Replies (1) of 186894

I guess you never heard of volume pricing Wasn't too long ago back in Pentium classic days when AMD couldn't get a contract with CPQ or IBM. Wasn't too long ago when AMD couldn't produce enough chips to grab the high performance sector of the low end with their volume pricing. Perhaps you have forgotten your vociferous whines concerning AMD's production problems? If you want to see where AMD's strategy takes you. Look at Borland's classic underpricing of BASIC and PASCAL in the 80's. Intel is going to be undermined by AMD taking the market share that Celeron is intended for. IF Intel had come out with a low cost high performance chip then they might have tipped the AMD boat. Now its too late. Everyone knows that buying a Celeron is buying a PC Junior. I understand there are still inventories of Pentium MMX's (probably 166's) out there. THat was the last Intel low end strategy. Too bad you guys had the marketing parts of your brains removed in grad school. (Cyrix by the way will end up selling appliance CPU's.) ============ written on a MEdia-GX 180.

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