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

To: Paul Engel who wrote (115685)	11/2/2000 4:48:44 PM
From: Amy J	Read Replies (4) \| Respond to of 186894

Hi Paul and Tony, RE: "What doesn't look good " "Does't look good" was too strong of phrase, because Intel is actually winning over Sun by 80:72 (Intel's Xeon:Sun), assuming the info is accurate. However, these numbers are way too close of a match. Way too close. Which means: This isn't the usual Intel "swoop down and easily dominate" type of battle that Intel has a history of achieving. So, I think something is gating Intel's style of "swoop and dominate" performance. I believe it's two things: a) Sun is no AMD. So, look out, competition is going to be harder and you know what that means. Money and margins? b) Also, I think Intel is gated by a gap in their product portfolio (i.e. Intel doesn't yet have all the tools they need to compete with Sun, although these are coming). The second one (b) is resolvable and controllable. However, (a) is what I'm going to watch (and GV, this is where you could help us, by posting contrarian news for us to hash through). I wish their was more information on Intel vs. Sun, rather than Intel vs. AMD --- what good is focusing on AMD, when the future (which is beginning to sound like today) is about fighting Sun? These numbers show this battle doesn't look easy, so I'm curious how much margin money it's going to take to fight this battle with Sun because Sun is no AMD. I don't think (b) will be a problem since Intel is rolling out, but I think (a) is going to cost money. It will cost Sun in the way of margins - and - Intel in the way of feeding profits into this battle. And with Intel's new businesses growing at 56% of total revenue, profit becomes even more important, which to me means Intel had better be incredibly focused and aggressive on the front of this Server battle, because this is a high margin business which appears to be holding the rest of the ship up. One slip up, and a lot is at stake. Intel's numbers are beginning to suggest they can't afford slip ups in the future, like last year. Once Intel has all the product tools, I believe this will be a marketing battle, and unfortunately, Sun is very good at marketing. Let's keep our fingers crossed. This is why I said these numbers do not bode well for Intel: the numbers are just way too close - this battle may not be easy. And as an investor, I'm beginning to watch the new businesses since they are now 56% of the total revenue growth and losing money, and Intel is faced with a hard battle ahead, meanwhile the numbers are showing this could be a harder battle than the AMD battle. I wish there were more reporting on the Sun vs. Intel battle, so I could watch my investment better. It feels like most posts are focused on the old AMD stuff. There's even two AMD threads. How many Sun investors post on the Intel thread? And, who in the industry even does benchmarks against Sun and Intel? There's plenty out there that do benchmarks against Intel and AMD. There's simply not enough information for me to effectively track Intel's progress in the Server market. And the recently released figures I saw today show that they need to be watched carefully because this appears to be a close race. Regards, Amy J