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

To: SteveC who wrote (103198)	4/9/2000 9:15:00 AM
From: niceguy767	Read Replies (1) \| Respond to of 1574485

SteveC: Re: "AMD should however have a good idea now how things will be 2Q 2000 if they have produced a ton of Thunderbirds that will be brought to the market by the end of May." Comment: I wonder if T-Bird unveiling might represent one of the positives in the CC to which Mr. Sanders alluded in his far eastern pre-announcement.

To: SteveC who wrote (103198)	4/9/2000 10:01:00 AM
From: brushwud	Read Replies (2) \| Respond to of 1574485

The clean room in Austin consists of 120,000 square feet. AMD's most recent 10K states that AMD "has constructed and is installing equipment in Dresden Fab 30, a 900,000-square-foot submicron integrated circuit manufacturing and design facility." Once Dresden ramps up, the volume of Athlons hitting the market will be the last of our concerns. To clarify, AMD says regarding Fab 30: "Facility Size Total project Approximately 866,000 square feet SMIF Clean Room Size Approximately 90,000 square feet" amd.com In terms of revenue recognition, I believe someone mentioned earlier that AMD doesn't recognize a sale until the OEM sells the computer. Yeah, I've heard this said, but I'm unclear about AMD's policy. I know it has been the semiconductor industry standard for a quarter of a century not to count sales to a distributor until the parts have sold through and are off the distributor's shipping dock. But distributors are not OEMs. OEMs add value by manufacturing. Distributors do not. Again from the 10K, "Distributors typically maintain an inventory of our products. In most instances, our agreements with distributors protect their inventory of our products against price reductions, as well as products that are slow moving or have been discontinued. These agreements, which may be canceled by either party on a specified notice, generally allow for the return of our products if the agreement with the distributor is terminated."