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

To: Charles Gryba who wrote (159917)	2/23/2002 8:34:09 PM
From: Windsock	Read Replies (2) \| Respond to of 186894

C - Re:" your theory only makes sense if there are enough Nwoods to cover ALL P4 demand at all speed grades. We know that's not the case so why doesn't Intel just bin them as >= 2Ghz for now?" You need to make a smooth transition on the change, not a step function. Phase out the Willamette inventory and phase in the Northwood inventory. Note that Northwood uses a new 478 socket. Second, only AMDroids "know" there is a shortage of Northwood P4s. The OEM customers see a good supply of Northwood processors. The Northwood ramp is very steep and pretty soon the silicon cost of the P4 will be cut in half. That will represent a nice cost saving and increased profits for Intel.

To: Charles Gryba who wrote (159917)	2/24/2002 2:09:09 PM
From: Dan3	Read Replies (2) \| Respond to of 186894

Re: Windsock, your theory only makes sense if there are enough Nwoods to cover ALL P4 demand at all speed grades Whatever shortages may have existed last quarter and early in this quarter have probably either ended or will be ending soon. Either now, or soon, Intel will be sitting on a mountain of Northwoods, fabricated at considerable expense. Their problem is that they can either sell X processors at an ASP of about $150 or 1.1X processors at an ASP of about $100. If they go with 1.1X, they'll take more share from AMD, but go into the red. They would also put AMD into the red. According to both company's roadmaps, in two to three quarters, AMD will be marketing 64-bit performance compatible processors for the desktop with performance significantly better than Intel's 32-bit desktop processors. AMD has more than enough money to make it through "the year of the Northwood" to Hammer. If Intel goes with slash and burn pricing for the next few quarter, they may not have enough money left to make it through the "year of the hammer." What will Intel do?