John - Re:"Any other comments on theimplications of this information?"
A peripheral comment - regarding the 58% OVERSEAS sales.
I am addressing the Southeast Asia/China market (although these certainly do not account for all overseas sales increases).
Several years ago, Intel uncovered an interesting situation as it was in China doing marketing, sales work. They discovered that, although the PC market was extremely small and nascent, the typical reseller & customer DID NOT WANT ENTRY LEVEL machines. They DID WANT the latest technology that Intel had to offer.
As Intel transitions to MMX technology and later to Klamath/MMX CPUs, the logical conclusion is that the Southeast Asia/China market will demand these newest CPUs - eschewing anything older in the technology history file. Good news for purveyors of the latest technology - in this case Intel. Perhaps AMD can get some of this if their K6 is functional and timely.
The miscalculation that many vendors have made in the recent past (AMD/K5, Cyrix 686, and the Japanese) was that the Southeast Asia/China market wanted CHEAP PCs just because they were behind in the PC adoption escalator. NOT SO. Cheap PCs were not on their priority list. They therefore did NOT become a dumping ground for cheaper, obsolete technology, much to the distress of Cyrix, AMD and Japanese PC vendors.
As a point of reference, the counterfeiting of Calvin Klein jeans, Rolex watches, Microsoft Software, etc in Southeast Asia/China markets sort of describes their infatuation with BRAND NAMES and QUALITY MERCHANDISE.
In summary, overseas growth of 58% for PCs bodes extremely well for Intel. It has been establishing its brand name in China, and is already recognized for its quality AND relatively HIGH PRICES. Intel is also building an assembly/board manufacturing plant in southern China - solidifying its presence as an employer, as well as purveyor, in this market.
Paul |
