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

To: fyodor_ who wrote (46253)	7/5/2001 10:40:33 PM
From: eCo	Respond to of 275872

fyo - I concur. I dare say this announcement should not have been a surprise to anyone, except for the fact that it was a week late give or take. There is still money to be made on AMD. It's just a shame that in addition to the usual noise on the stock price graph, AMD holders have to be wary of stunts like today. I do not doubt that this management practice has prevented, and will prevent in the future, the stock from enjoying higher PE's. eCo

To: fyodor_ who wrote (46253)	7/5/2001 10:51:26 PM
From: milo_morai	Respond to of 275872

Fyo, for AMD I think it's better to sacrifice some ASP's and continue the Volume.. It will force the MB suppliers to key up for future quarters. I would not wish to see AMD having trouble getting MB makers to supply product late because they slowed down shipments. I think Delaying Athlon MP for the desktops at this time is a smart move. I say release them just before school/holiday season starts. M. "Today the company said that, despite continuing weak PC market conditions and very aggressive pricing by Intel Corporation, the company achieved record unit sales of AMD Athlon™ processors, record unit sales of AMD Duron™ processors, and record aggregate PC processor unit sales, demonstrating the breadth, strength and competitiveness of its PC processor product line. AMD will report second quarter results of operations on July 12. amd.com This info cannot bode well for Intel. M."

To: fyodor_ who wrote (46253)	7/6/2001 2:07:34 AM
From: Cirruslvr	Read Replies (2) \| Respond to of 275872

Fyo - RE: "Since AMD's profit warning, comparisons with the "K6-times" and the like have been numerous" Since you replied to me, I assume you meant my post earlier. "Athlon4MP ~ K6-III No way! The K6-III improved AMD's performance in all the wrong places! And not a lot, at that! Athlon4MP improves performance, sometimes quite drastically, in many of the places where the P4 outshone the K7. This is a much, much better (relatively speaking) core than the K6-III. Additionally, the relative die size increase is much, much smaller for the MP (over the Tbird). Additionally, heat production is LOWER, not higher" That's all nice stuff from the engineering perspective, but what it really comes down to is can AMD keep up with Intel in GHz and therefore price. And if they can't keep up in GHz, can they live under a good pricing umbrella. Well, this Q the umbrella collapsed and Athlon pricing tumbled down, especially near the end of the quarter. Sure, Palomino is going to be a higher performing chip than the current P4 at the same clock speed, but Intel is so far ahead of AMD in speed grades now this performance difference doesn't matter anymore. It has been said AMD's 1.2GHz is competitive with Intel's 1.7GHz. Well from a business perspective, that doesn't amount to ANYTING unless AMD's 1.2GHz is fetching a price close to Intel's 1.7GHz. If performance is so competitive, pricing should be firm, but it has fallen off the cliff. So you have a high performing processor AND too low prices. THAT is obviously a bad combination for AMD. I said it before, the only game AMD can play right now is the price game. And by the looks of it, things aren't going well. And for those with their HOPES set on nVidia's chipset, you need a SERIOUS grip of reality. No one chipset is going to save AMD unless this chipset ALONE can get a higher ASP for AMD or open up new markets. And we know that will NOT happen because price is dependent on GHz, and AMD controls its GHz and because no OEM is going to put an UNPROVEN chipset by a company taking its first stab at chipsets into a corporate PC. If the word that Intel's i845 chipset is the "next BX" is right, AMD chances of breaking into the Tier 1 OEM corporate market will just get smaller. In reality, all nVidia's chipset does is allow the Athlon an opportunity to be more performance competitive with the P4. That's it. Anyone who thinks otherwise is fooling himself.