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Politics : Formerly About Advanced Micro Devices

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To: Scumbria who wrote (41196)11/10/1998 5:12:00 PM
From: Ali Chen  Read Replies (4) of 1573433
 
<So why isn't it in production?>
Probably because it WAS disadvantageous
to make it under current market conditions.
I mean the 300MHz parts.

What would you prefer, to make 4M parts and sell
them at $105 each, or 2M (135mm vs 81mm) parts
and get only $150 at very best? Don't be
ridiculous and suggest that a customer would
pay more for a K6-3 the P-II price, even if K6-3
would outperform it by 10-20%. Market perception,
brand name.. you name excuses. At most, a
customer will pay more only in proportion to
performance gain relative to the current
product, K6-2, not P-II. The 400MHz-K6-3
could be a very different story: there are
different pricing rules for parts above and
below the current "sweet spot".

Is not it the main purpose of an enterprise
to make money in the first place, as Pal
is reminding us every time?
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