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Technology Stocks : Micron Only Forum
MU 207.36+3.0%Nov 21 3:59 PM EST

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To: Greg Thornton who wrote (45608)5/5/1999 11:39:00 AM
From: Land_Lubber  Read Replies (2) of 53903
 
How could this be positive for the whole industry? National has managed to eliminate one of Intel's competitors for them, so now there is only AMD, who may very well be eliminating themselves by losing so much money at it. The only reason Intel is so generous with price reductions is because of competition, and that is becoming smaller and smaller. Ultimately, Intel will own the market and prices will climb, or at least fall at a slower rate.

I didn't say it is good for consumers. Higher prices for Intel and AMD is good for the whole industry. The biggest problem with this industry is that prices are far too low. The consumers are killing themselves laughing as the semiconductor industry drives its weaker companies into bankruptcy through cut-throat competition. Of course, as you say, the industry will have the last laugh after the competition has been squelched, and the cost of re-entry placed out of reach.

Land_Lubber

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