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

To: Dan3 who wrote (89131)	1/24/2000 8:34:00 AM
From: niceguy767	Respond to of 1572905

Hi Dan3: Intel can no longer afford the luxury of "loss leader" pricing as the PWeeIII is no longer the leader...The Athlon is now the market leader in both price and performance...What's more, it seems AMD can produce ample supply at the top end of the MHz scale, something the PWeeIII claims to be able to do but so far has been unable to demonstrate in any convincing or meaningful fashion! As AMD has little competition at the top end, AMD can collect the higher premiums for market leading processors while pricing very competitively in the "middle market" segment...Given the dearth of top-end (i.e PWeeIII 733's and above) competition, AMD's current marketing strategy seems not unlike Intel's of just one year ago, when Intel had no competition in the top end and stripped down their PWeeII, called it a Celeron, and priced the Celeron to "knock out" the K-6's! This "role reversal" thing looks to me to be a real phenomenon when I look at AMD's current pricing strategy...with the longer term goal of 30% market share and increasing ASP's to boot...AMD's yields must be outstanding as that is the only explanation for these price drops while at the same time promising increasing margins in Q1!