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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Saturn V who wrote (95739)	1/12/2000 5:47:00 AM
From: Steve Lee	Respond to of 186894

I too was puzzling on how Intel could fail to beat estimates bearing in mind the huge demand. From the Business Outlook section of the Q3 report 1) Revenue expected to be up 2) Gross margin expected to be up And there has been little pricing pressure this quarter due to the demand. We have also seen, IMO, a good Coppermine ramp. When some were doubting Intel's ability to manufacture Coppermine, Intel were stating they could supply all current commitments but would have a hard time supplying additional requirements so the earnings were not in jeopardy. Then there was the manufacturing breakthrough in December that allowed the Coppermine ramp to accelerate and also allowed for the ahead of schedule intro of higher speed processors. The only downside I can see is that the supply and performance of Coppermines with their on die cache was so good that the higher XEON sales were hit. If that is the case I would expect guidance from management in light of the earlier guidance that gross margins would be up a couple of points.