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Politics : Formerly About Advanced Micro Devices
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To: Tenchusatsu who wrote (38882)10/9/1998 6:17:00 AM
From: RDM  Read Replies (1) of 1574750
 
I think your observation is correct that 400 Mhz is near the speed edge of the AMD production speed distribution. However different clock speeds also offer the opportunity to individually price each speed. Current pricing is terribly bilevel. If the chip is near Intel top speed the price $200, but if it is "far enough" away the price is $100, or less. Perhaps more that 1,000,000 parts will be near the top of speed range during Q4. If these parts are sold for $200 each then AMD gets $100 Million more for the bottom line than if the parts are sold for $100 each.

This is an enormous difference. Price tuning using speed may gain them tens of millions in profit in Q4 (I hope since I am an investor).
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