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

To: Dan3 who wrote (82119)	12/6/1999 12:43:00 AM
From: Elmer	Respond to of 1573848

Re: "1. McDonalds doesn't have to throw away 10's of millions of dollars worth of cups, dispensing machines, etc. because they aren't pin, chipset, and bios compatible with Pepsi." Well McDonalds has a large supply of cups that say "Coke" but that's a minor point. Systems today are build around generic MBs and Chipsets. Gateway could drop in an Athlon MD and still use most of the other components. They don't spend Millions of dollars developing their own MBs. So I don't think this argument holds water. Re: "2. Coke doesn't have 85% of the soft drink market - they don't even have half of the market." And Intel doesn't have 85% of the retail market. EP

To: Dan3 who wrote (82119)	12/6/1999 2:42:00 AM
From: Y. Samuel Arai	Read Replies (1) \| Respond to of 1573848

I don't think this Coke/Pepsi at McDonald's analogy works well. Although many drinks are sold with their meals, it isn't a vitally important part of every meal, and many do not buy drinks with their meals. Drinks are like "accessories" on PCs...you can get them with or without them. However, CPUs are needed in EVERY PC sold. A PC cannot be sold without a CPU. CPUs are vitally important to the survival of ALL boxmakers. And for any serious boxmaker, they only have two serious choices: AMD and Intel. Majority of the market still prefer Intel CPUs (although it seems to be shifting now at the high-end of the consumer PC market toward Athlons), thus Intel CPUs are still vitally important for their profitability and survival. McDonald's bottom line would NOT be affected if Coke decided to raise prices on them, or to terminate their contract with them, as Pepsi would be more than happy to fulfill their need. McDonald's clientele will not stop dining at McDonald's because they now have Pepsi instead of Coke. Sam