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Politics : Formerly About Advanced Micro Devices

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To: Elmer who wrote (34444)7/14/1998 11:06:00 AM
From: Jim McMannis  Read Replies (1) of 1574683
 
If you don't know how can you be sure it's "below" personal computer?
Are you having trouble believing this low end K6 computer can actually be profitable?
Example...
One of the more expensive components in a computer. With Asian currencies dropping...Compaq might just be paying a lot less for motherboards. Same for other components. Then add in a K6-266 which Compaq buys for maybe $70. They can make some money. The more a boxmaker uses components pegged to the US dollar like those who use Intel motherboards the less they can take advantage of this currencies fluxuation. So the likes of Dell, Gateway and even more so, Sony...don't get quite the savings.
Jim
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