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: tejek who wrote (63179)	6/24/1999 2:41:00 PM
From: kash johal	Read Replies (2) \| Respond to of 1572702

Tejek, Re:" Are you sure their margins are that low? Or is because intc is willing to sell at a loss to gain market share? Do not forget that intc just gave guidance for lower earnings. They are paying in this price war as well. Please note that their stock price today is down as well and they did not preannounce." Intel has the luxury of watching Xeon and PIII sales and then determining how much damage to inflict on the low end!!! In fact they have managed to keep average ASPs solid at north of $200 while they have beat the crap out of AMD and NSM with this approach. My guess is that their stock price would be much lower if they let AMD/NSM prosper and give them time to build a war chest to attack the high end. It has been a brilliant strategy and they have executed very well. NSM folded. AMD has managed to counter them with a better faster core and the prospect of a better 0.18 cu process. It will be interesting to see how well AMD's counterattack goes in Q3/Q4. Regards, Kash