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Technology Stocks : Intel Corporation (INTC)
INTC 35.10+2.3%Nov 19 3:59 PM EST

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To: Tony Viola who wrote (62100)8/8/1998 3:07:00 PM
From: Paul Engel  Read Replies (3) of 186894
 
Tony - Chip Shortages

Here's a report from a PC builder in Canada that cannot "get" AMD or Intel CPUs.

{=================================}
techweb.com

August 10, 1998, Issue: 695
Section: Editor's Note/Letters

Where Are The Chips?

With improved chip speeds, can a human being really notice the difference
between a chip with Level 2 cache and a chip without Level 2 cache ("Intel To
Ship Chip Early," July 27, p. 34)? If the answer is no, then who cares?

We make and service commercial company systems. Many Fortune 500
companies we service still use 486 DOS-based computers in many applications.
When we order CPUs, we don't have a choice anymore- we buy what's
available. I suggest that chipmakers Intel and Advanced Micro Devices need
some competition. Right now, we can't find a CPU in Canada to build a new
computer with. It's availability that worries us, not CPU speed!

Ken Gerelus

Owner

Platinum Data Products

Calgary, Alberta

Copyright r 1998 CMP Media Inc.

{=======================================}

I have trouble believing all this, but I secretly hope it's true - true in the sense that DEMAND has suddenly exceeded supply - not that Intel has had production problems.

The last "chip shortage" of 1994/1995 ended with a BANG !

The semiconductor stock went vertically UP during this time period, then cam VERTICALLY DOWN when the shortage turned into a glut overnight.

Paul
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