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

To: Tenchusatsu who wrote (115454)	10/31/2000 9:40:42 PM
From: Joe NYC	Read Replies (1) \| Respond to of 186894

T. CNET lists Pentium III 800 MHz as the most popular product to buy, while Athlon 800 MHz is #6. Intel happens to also make 5 times as many processors. But the P3 costs $200 on CNET, while Athlon costs $153. That's a wrong way to look at it. 800 MHz Athlon is basically a discontinued product. Just about all of the current yield is now in 950 MHz to 1.2 GHz range. Notice Gateway site, AMD's biggest customer. They no longer sell anything under 950 MHz (from AMD). But for Intel, 800 MHz is still very much a mainstream product. You may find it interesting that AMD Athon line has approximately the same ASP as Intel's blended ASP (from Celeron to $2,000 Xeon). What's dragging AMD's ASPs down is the K6 line (< $40) and Duron line, which is lacking infrastructure (probably in $65 range). Joe

To: Tenchusatsu who wrote (115454)	10/31/2000 11:30:21 PM
From: Dan3	Respond to of 186894

Re: CNET lists Pentium III 800 MHz as the most popular product to buy, while Athlon 800 MHz is #6. But the P3 costs $200 on CNET, while Athlon costs $153. When AMD was selling K6-2 350s for $70, Intel was selling Celeron 350s for about the same. The difference between the two companies was that Intel had PIII in good volume at 450MHZ and $500 when AMD had nothing. Now AMD has moderate volume at 1.1 and 1.2GHZ where Intel has nothing and is selling most of its chips at 1GHZ where Intel is limited. The quartiles of AMD's binsplits are likely selling at prices higher than those of Intel right now - for desktops. For notebooks and servers, Intel has 1 to 2 quarters remaining in which it has little competition and can continue to get very good prices with little effort. AMD needs Mustang. It needs Mustang's low power consumption to let it get back into the notebook business and large cache Mustangs to get into the mainstream server business. Getting to Mustang won't be easy, but it's a moderate, evolutionary change to a known quantity. Intel needs P4 to be an outstanding chip and P4 can't embarrass itself on existing applications. P4 is a very big change, an unknown quantity, and starts out hobbled with high cost, mediocre performing Rambus memory. The P3 has done an outstanding job, but has been left in the game a little too long. If P3 doesn't get relieved pretty soon the other team is going to be knocking the ball out of the park on every at bat. [still have some lingering world series metaphors in there, I guess - couldn't resist] Dan