Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: kash johal who wrote (34118)	3/29/2001 1:38:03 PM
From: niceguy767	Read Replies (1) \| Respond to of 275872

kash: Nobody's doubting, as far as I know, that flash has weakened considerably. How much impact the weakening flash environment has on AMD, is the major question, and is determined by terms of contractual pricing agreements, client mix, and product mix.Fortunately, much of AMD's sales are protected to some extent, maybe a great extent, by contractual pricing, AMD has a fairly broadly based clientelle and AMD's flash is heavily weighted towards the top end of the market...Some here suggest that weak flash will have a major impact on AMD and some suggest minor...Personally, I'm assuming Q1 flash revenues will be flat or increase from Q4's $440 million... In any event, I certainly don't see Y2001 flash revenues declining y/y, but I do see microprocessor revenues increasing substantially owing to the incremental production coming out of Dresden during ramping, an increment of 8 million units or conservatively, $1 billion. Flash revenues will have to drop by $1 billion (i.e. 50% from current Y2001 est. of $2 billion) to have a net negative effect on revenues in the foregoing scenario...I just don't see that happening!!! Y2001 is likely to be more of a banner year for AMD than was Y2000 owing to the strength of their microprocessor product lineup!!!