<I suspect that AMD does have some niche chasing in mind with the built in variability of the K7. This market is getting to be totally nichified, which suits AMD quite well.>
Neat trick, that "built-in variability of the K7." Also, a neat term, that "nichified market."
I believe Intel already succeeded in both areas. In the "variability" department, take a look at the Deschutes core. We see it marketed as a $100 Celeron, a $350 Pentium II, and a $2000 Pentium II Xeon. All these variations address the "nichified market" pretty well, don't you think?
By the way, Intel prefers to use the term "market segments" instead of "market niches." A niche implies a very low volume of buyers with highly specialized needs. Saying that AMD is niche chasing is suggesting that AMD can't move their product in a high-volume market, meaning that they have to chase after niches. And as we all know, ole Jerry Sanders isn't interested in mere niches; it seems that he wants the whole enchilada, and he'll be willing to sell his processors at bargain-basement prices in order to do it. Not a rosy picture for Intel, but it's even worse for AMD.
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