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

To: TimF who wrote (47365)	7/12/2001 8:10:49 PM
From: dhellman	Read Replies (1) \| Respond to of 275872

Jerry stated in the cc that ASP dropped $15 for the Q (to $75) Noted that at 7.7m units (had the ASP's held) it would have dropped 120m to the bottom line. d

To: TimF who wrote (47365)	7/13/2001 11:08:53 AM
From: niceguy767	Respond to of 275872

Tim: "Niceguy, that is the crucial assumption that you seem to be pulling out of thin air. It may be true but what source of information do you have to back it up? I think it is almost certain that Intel's ASPs went down but I don't even have enough info to make a WAG about how much they went down." Nobody does...but if INTC experienced ASP pressure similar or worse than AMD, which I assume they did given their 10% margin decline in q1 (i.e trend coming into q2), and if INTC's ASP is twice that of AMD, then it follows that a $10 ASP drop by AMD equates to a $20 ASP drop for INTC...Lots of assumptions to be sure...but they may be conservative assumptions if INTC shipped below 25 million processors in q2, and wildly conservative if INTC shipped only 20 million as some have syggested! Let me put it this way, I'm not looking for any positive surprise in INTC's q2 financials...forward looking, no doubt INTC's PR dep't and Paul have a stack of prepackaged 1 pagers in their out basket all ready to go...Gonna be intereseting but I'm not counting on $0.10 to be sure!