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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: combjelly who wrote (152136)	12/11/2001 9:14:54 PM
From: wanna_bmw	Read Replies (2) \| Respond to of 186894

Combjelly, Re: "I wouldn't worry about it overly much. The estimated cost of a a processed 200mm wafer is around $2100, a yield of more than one die per wafer is likely going to recoup all of the costs. Nos if AMD is successful in driving the costs of server server chips to a more commodity level, then Intel has something to worry about..." Interesting AMDroid logic: A) Intel has nothing to worry about. B) Estimated cost of wafer = $2100. C) A yield as low as one die per wafer would put CPU costs under Intel's asking price. D) Thus, Intel makes a profit in the worst case. E) AMD will drive down server ASPs. F) Lower ASPs will put Intel's cost at one die per wafer above what they could ask for it. G) Intel will be in trouble once AMD lowers ASPs. LOL. What a bunch of bull. I shouldn't have to explain it, but F) and G) depend upon your "worst case" projection of Intel getting one die per wafer. I'm pretty sure they can do much better than that. Thus, I doubt Intel has to worry about AMD driving down the costs of server chips - even if they could accomplish that task. wbmw

To: combjelly who wrote (152136)	12/11/2001 9:21:13 PM
From: Elmer	Read Replies (1) \| Respond to of 186894

if AMD is successful in driving the costs of server server chips to a more commodity level, then Intel has something to worry about... Interesting speculation. To achieve this AMD would have to produce a large die with large cache. Something they've never been able to do. In addition they're going to need customers for their Hammer. So far no one has stepped forward and allowed their name to be mentioned in the same sentence as Hammer. The big companies have all had a look at the Hammer specs and every one of them has said no thanks. Not a good sign. EP