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.

Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: John Koligman who wrote (135434)	7/3/1999 9:23:00 AM
From: Meathead	Respond to of 176387

Re: the average PC will cost 500 and run at north of 1 ghz in a few years That you can count on. Intel already has a consumer IA64(ala Merced) CPU running at >1GHz on it's roadmap slated for 2002 launch. I don't plan on holding any stock forever. We'll have to watch these trends closely. However, I bet Intel's volumes go ballistic. As processor ASP's come down, their pervasiveness will only increase. Also, there will always be leading edge processor technology that will command a premium.... at least in the forseeable future. Intel has already been hammered by some of these trends. Revenue from 1997 to 1998 was flat... no real growth for this bellwether. What's recently happened to Intel is pretty simple to understand. The internet mucked up their strategy a little bit. Most of the attention and focus in software development has turned internet centric rather than CPU centric. Instead of developing software to exploit every new CPU speed bump and feature set, the focus went to internet apps which for the time being, don't need to leverage increasing CPU horsepower. The difference between Dell and Intel is market share. With Intel at 85%, they have a high degree of sensitivity to this shift. Dell with it's 10% maket share can compensate by utilizing the tremendous headroom for market share growth. Keep in mind that these trends are not linear... and unforseen events can reverse or accelerate them. MEATHEAD