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Technology Stocks : Intel Corporation (INTC)
INTC 35.81+0.2%Nov 25 3:59 PM EST

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To: Jim McMannis who wrote (60325)7/15/1998 1:22:00 AM
From: Paul Engel  Read Replies (1) of 186894
 
Jim - Re: " What happens to margins if the Mendocino (or the
Celeron for that matter) cannibalizes the Pentium II? "

You do not understand Intel's Segmentation Strategy.

The Mendocino will be offered with good speed - 300 and 333 Mhz - but with a 66 Mhz Bus Speed/Chip Set.

It will have performance comparable to - or slightly better than - the competition - K6-2 -, but will be below the 350/400 and 450 Mhz Pentium II which will run at 100 Mhz FSB.

And of course, the Slot 2 Xeons will make up the very high margin workstation and Server offerings.

Paul
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