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

To: Charles R who wrote (80437)	11/18/1999 11:51:00 PM
From: xun	Respond to of 1572340

Chuck: I think the situations between NSM/Cyrix and VIA are different. NSM/Cyrix solutions then were much closer to INTC and AMD in performance than VIA's today. You are right in that VIA has advantages in cost control and manufaturing efficiency. But when VIA enters into CPU market, do you think it can still enjoy above advantages and the benefits of a fabless modal. My common sense tell me competition in the CPU business is totally different from the chip-set business in that: (1)world class process prowse, (2)a lot of top notch R&D talents, (3)sustain billions of dollors loss in the catch-up period, and (4) home court advantage (subtle but significant). Loss lead business model may be common for American or even Japanese high tech companies. But it's nearly a pipe dream for Taiwanese companies because: (1) Taiwan doesn't have the financial infrastructure the American companies enjoy, (2)Taiwanese companies are born to view loss-lead as near suicide (it's their business culture and will not be changed any time soon), (3) VIA doesn't have a deep pocket to be a loss-leader and its parent will never provide such financial backing in a Taiwanese business world. I will never rule out VIA blindly. But its chance is lower than investing in Disney and hoping a double in 12 months. panic_mob