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To: Jdaasoc who wrote (71366)	4/30/2001 6:46:41 PM
From: Scumbria	Respond to of 93625

John, PC133 is cheaper than DDR because of volume. Scumbria

To: Jdaasoc who wrote (71366)	4/30/2001 6:58:07 PM
From: Bilow	Read Replies (3) \| Respond to of 93625

Hi Jdaasoc; Re: " I was told by all sources that DDR DRAM cost no more than SDRAM to produce. Either I been lied to or SDRAM is still selling below cost." Your conclusions don't follow from your statements. First, just because two things cost the same to produce doesn't mean that they will sell for the same amount. Second, no two manufacturers have the same cost of making SDRAM, and for any given manufacturer, that cost changes drastically with time, and is difficult for even them to know what it really is due to the complexities of accounting properly for depreciation . In addition, at any given time pricing for SDRAM depends on who is buying what quantity and from whom, and with what terms. You're basically trying to simplify a very complex situation, but even with your simplifications the result does not follow from your assumptions. The memory makers are all making good money on DDR SDRAM, which is now selling at around a 68% premium to SDRAM on the spot market. Those of us in the industry have known for a fact that DDR would not sell as cheaply as SDRAM for the first year of its production, I've post to that effect repeatedly on this thread. The sources you had that said that DDR costs no more to produce than SDRAM were truthful, but your conclusion that DDR would therefore sell for the same amount as SDRAM was faulty. Here's a link, you can follow the spot pricing for standard spot traded DRAMs yourself. (Note that RDRAM is a specialty product with current production split between something like 4 different incompatible pinouts and is consequently insufficiently standardized to be traded on the spot market): dramexchange.com As far as SDRAM goes, some of the memory makers are making money on SDRAM, but most of them are losing money at the current prices. In fact, some of them appear to be exiting the business, as has been repeatedly predicted on this thread. By the way, if you make investment decisions based on Intel conference calls you are likely to be disappointed, LOL... Maybe you should listen to the AMD, VIA or Nvidia bull-pucky, at least they're (rapidly) gaining market share. Does anyone really think that memory designers are out there listening to Intel's response to Wall Street analysts while trying to figure out what the next mainstream memory is? If they did, they'd find that they missed the PC100 to PC133 transition as well as the current SDRAM to DDR transition. -- Carl