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Politics : Formerly About Advanced Micro Devices
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To: Steve Porter who wrote (34087)7/8/1998 6:48:00 PM
From: Petz  Read Replies (3) of 1571204
 
Steve, re:<on a raw cost of sales basis, I bet the CPUs made a tiny amount of money. But if you factor in R&D Costs then well...>

Without R&D ($139M), the entire company was profitable, there would be a pretax profit of $23M. No company can afford R&D at 26.4% of sales. In the Q1 conference call, management guided that R&D would be "flat" in the 2nd quarter. Instead, it went up by $11M.

disappointed - mostly with low, low ASP.
Petz
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