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

To: Paul Engel who wrote (49982)	8/5/2001 11:21:44 PM
From: Dan3	Read Replies (4) \| Respond to of 275872

Re: "server-recession")... why the implication that it is some how good for AMD ? This almost entirely an Intel market right now, and they've been using profits from this segment to subsidize pricing in the desktop segment. Having the server market crash and burn during Q3 gives AMD time to flesh out its own server offerings without losing too many potential sales (nothing's selling anyway) and forces Intel to try to make some money off desktops while competing with AMD. If the server market were booming, Intel could (as in the past) sell desktop chips well below minimum profitable prices and make their money on servers. Won't be happening this quarter. They won't be doing it with notebooks, either. In past years, whenever AMD started doing well in a given segment, Intel would dump on that segment with the result that neither Intel nor AMD made much money in the segment. Then Intel would still make lots of money in the other segments and AMD would be screwed. This time AMD is moving on all segments at once, desktop, mobile, and workstation/sever, and Intel is cornered by its $6+ Billion per quarter costs. AMD has grabbed a hold of Intel's CPU family jewels, and is starting to squeeze.

To: Paul Engel who wrote (49982)	8/6/2001 9:57:08 AM
From: fyodor_	Respond to of 275872

Paul: But why do you not point this out to Milo - when he claims a 1% Server growth rate is bad for Intel - with the implication that it is some how good for AMD ? I almost always reply to the last poster in the (logical) thread. Thus, my post was meant as much for you as for Milo. -fyo

To: Paul Engel who wrote (49982)	8/6/2001 10:01:44 AM
From: niceguy767	Read Replies (2) \| Respond to of 275872

Paul: " "A "PC-recession" (as well as a "server-recession") isn't good for ANY of the players." Sounds like INTC is in panic mode again on the P4 front and consequently exhibiting the characteristics of a wounded elephant at the moment...Huge P4 price drops announced again for later in August and if still can't find the hangar door (i.e can't fly) for P4, will drop again in October...Seems like the P4 price drops to date are having about as much effect in spurring P4 sales as have the interest rate drops by the fed over the past 6 months in spurring the economy in general... INTC is looking very very vulnerable going forward into q3 and q4 with its anaemic P4 pricing, "other" business in the tank, no capital gain surplus to pad earnings and goodwill now bloated almost to capacity...Just nowhere to mask, anymore, the loss of production advantage that has been witnessed over the past 2 years...INTC is putting it all on "P4" and "P4", so far, has not exactly exhibited flag bearing characteristics...My, oh my, in just 2 years INTC has been turned on its head and what's more, the slide may be only in its initial phase...Just too much competition from its lower cost competitor, AMD. it seems... Hey Paul, do you really believe that INTC is going to escape red in q3 and q4??? And it doesn't get any easier for INTC going forward given AMD's mobile A4, its Hammer and SOI going forward...