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

To: Process Boy who wrote (93090)	2/14/2000 7:42:00 PM
From: Charles R	Respond to of 1576644

<And at ~30X next years earnings, some folks are calling Intel cheap.> Yeah! And some folks are calling all kinds of Internet stocks cheap too. As the saying goes, "in the land of the blind, one eyed man is the king". Mathematically, on a long term basis, it is tough to make a case for buying a stock when the stock PE exceeds its growth rate. In this day and age, thanks to "relative valuation", no one gives a damn. <<So, realistically, where do you think Intel stock would be if AMD took 40% of the CPU market?> I don't think this is going to happen. Intel still has price as a weapon before that happens.> This, I kind of agree with. Crossing 30% is going to be tough for AMD unless Intel continues with its blunders - not something that anybody should expect. Now, first AMD needs to pass the 20% mark (could happen this quarter)

To: Process Boy who wrote (93090)	2/14/2000 7:46:00 PM
From: Gopher Broke	Read Replies (2) \| Respond to of 1576644

PB, <<Intel still has price as a weapon before that happens>> I am surprised you say that, given the supply position. I know Intel now have a lot more of the 800 (and presumably 900/1Gig chips) being produced, but there are just too many of those 600/700 MHz "byproducts" being produced as well aren't there? If we can believe the reports that ALL AMDs slow Athlons are really 750s being downbinned then where does that leave Intel if they start a price war, assuming that AMD would counter by pushing up the MHz sweet spot to maintain their ASPs? Intel's "demand constraint" will kick in again don't you think?