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Technology Stocks : Intel Corporation (INTC)
INTC 33.62-4.2%3:59 PM EST

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To: Gary Ng who wrote (63194)8/24/1998 8:37:00 AM
From: Maxwell  Read Replies (2) of 186894
 
Gary:

<<They don't need to. Look closely you would see the Celeron-A is
a replacement for .35 micron PII(Klamath) but cheaper. The only overlap I see is the 333Mhz parts. I thought Intel called this segmentation ? >>

Segmentation only works if Intel is the only player in town and that your low end product is much lower in performance then your high end.
The problem is that people can't tell the difference in performance when running CeleronA-333 vs. PII-350. What is even worst is that the K6-2-300/333/350 performs as well in 3D application as the PII-400 and is as cheap as the CeleronA-333. The only way Intel can segment the market is to have needy "killer software applications" which people use and like to differentiate the low-price and high-price parts. We are a few years away from that.

Maxwel
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