Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: Charles R who wrote (59340)	5/24/1999 1:48:00 AM
From: Petz	Read Replies (1) of 1573440

Kap, "how much revenue loss would result from doubling the Celeron unit sales at the expense of PII and PIII?" Intel may have already totally stopped Pentium II wafer starts. I think Intel has a BIG RISK that typical conservative business users will stick with the older Celeron design rather than switch to the flashy 3D-optimized Pentium III. The business users continued using the Pentium II even as it became more and more ridiculous to do so, simply because it was the PATH OF LEAST RESISTANCE. NO DECISION=Pentium II. Most companies will always follow the PATH OF LEAST RESISTANCE, i.e., the path of NO DECISION. But while business typically makes plenty of bad NON-decisions, they do not make many bad decisions. Now, the Pentium II is disappearing, and business users will have to make a decision since they can't continue to buy their favorite CPU anymore. One third will go with the Pentium III, one third will go with the Celeron and one third will go with an AMD chip. By the end of the year, to Intel's dismay, the Celeron will be outselling all other Intel chips, and their average selling price will collapse to ~$150. Petz

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