Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: Brian Hutcheson who wrote (41296)	11/12/1998 2:04:00 AM
From: Paul Engel	Read Replies (1) of 1580478

Hutch - Re: "IBM model E2U with K6-2/333 at $1599 cdn. 25% gain in performance for an extra 115% in price that sounds like the normal Intel price/performance curve . " You seem to be quite confused. You posted the price of two PCs made by IBM and sold by a retailer. The price would be set by both IBM (wholesale price) and the retail vendor. Intel does not set the price of these systems. They are only a component supplier. The Intel CPU may cost 356 dollars (US) more than an AMD chip ($450 for the 450 MHz Pentium II/$94 for the 333 MHz K6-2), but it is IBM and their CUSTOMER - the RETAILER - that PRICE THE INTEL machine $1850 (Canadian) greater than the AMD machine. Clearly, IBM and the RETAILER set MORE VALUE in the Intel machine - and price it accordingly. Paul

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