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

To: Elmer who wrote (87550)	1/17/2000 12:51:00 AM
From: Dan3	Respond to of 1572376

Re: What does this foretell... That as AMD gains more high end SKUs, its margins will increase rapidly. Most of what happened last quarter looks like down binning. According to the overclocker sites, most of the 500 to 650 are all 650 or better if you open the cartridge. AMD could have lowered the price of these 650s and gotten a little more money than it got selling them as 500s, but it's been building up the value of the Athlon brand instead. (eg. an Athlon 650 is worth a lot more than a K6 or Celeron or Pentium III 500 to 600) That takes real guts and real foresight when your cash situation is what AMDs is - but it seems to be paying off. Athlon is gaining those SKUs. Compare that behavior with dumping off a load of 500MHZ PIIIs to eMachines to squeak a few quick bucks into Q4 (and keep them away from AMD) AMD isn't just getting better in its FABs and designs, it's getting much smarter as a marketeer. Dan