Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: kapkan4u who wrote (61718)	6/14/1999 9:53:00 AM
From: Kevin K. Spurway	Respond to of 1584665

Article in the Journal today about the K7. It says that the K7 will debut at 550 MHz, with 600 to follow later in the summer. Kevin

To: kapkan4u who wrote (61718)	6/14/1999 10:41:00 AM
From: Charles R	Read Replies (2) \| Respond to of 1584665

Kap, "<Chuck - re: Assuming an ASP of $450 between the blended K7 speed grades we are talking about a profit of close to $300 a chip. AMD will have to sell 5 high-MHz K6s to make that much profit.> Its more like $330 a chip. According to Ashok Kumar it costs AMD $115-$120 to build a K7." Couple of things: 1. I have included the chipset numbers in my estimates. Chipsets will increase the overall bundled-K7 ASP for AMD and decrease the margin %. 2. If you take the above in to consideration, one could say that I am being conservative. Today's WSJ article from Dean Takahashi shows Michael Slater forecasting K7 ASPs to be between $400 and $700 and you know Slater knows this industry as well as the next guy. Chuck