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Politics : Formerly About Advanced Micro Devices
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To: Tenchusatsu who wrote (53183)3/22/1999 4:26:00 PM
From: Mani1  Read Replies (2) of 1583671
 
Tenchusatsu,

Re <<AMD is not going to make inroads into the server market on CPU prices alone.>>

Yes, you are right. AMD has every intention of selling the K7 to the server OEM's based on its quality and performance. There has been a whole lot of speculation about the K7, most of them are unproven. Whether it is as good as advertised and whether AMD can produce it in volume remains to be seen.

For K7 to have any chance, it must be reliable and offer superior value to the Xeon. The decision of purchasing a mission critical server based on AMD's K7 is much larger than purchasing a second PC for the home for $600. Lots of scenarios must go right for the K7 to be a success, but if they do, $60 per share is possible within 12 months. A long shot but at $16 a share a very sound investment. For now AMD must produce high MHz K6-2 and K6 III to raise the ASP's from the current money losing levels.

Mani
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