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To: GST who wrote (122379)4/1/2001 9:56:41 PM
From: Sarmad Y. Hermiz  Read Replies (1) | Respond to of 164684
 
>> Companies like intel will not back off.

They do all the time. TXN exited the memory industry. HP the disk drive industry. IBM even exited the IBM PC industry. Seimens closed a just-completed chip plant in Scotland in 1998 and refunded $millions to the government that was extended as subsidy.
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>> Many firms cannot exit in certain industries -- I suspect this is one of them.

No need to exit. Just refrain from adding new capacity.