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

To: wanna_bmw who wrote (164373)	4/21/2002 11:36:24 AM
From: Dan3	Read Replies (3) \| Respond to of 186894

Re: This quarter, as some people pointed out, Intel had a slightly higher ASP due to a better mix of Pentium 4 processors That's your hopeful take on things. I think you're ignoring the impact of game console sales. Shipments of processors to Microsoft are OEM sales that are counted at the time of shipment. The first few Xbox's were sought after and initial sales went well - millions of them. Q4 of last year would have included all Intel "PC CPUs" for Xbox, given the sell out and waitlists, plus enough parts to account for 1/2 to 2/3's of Q1. 1.5 million Xbox units were delivered for Xmas, and given the expected ramp, Intel deliveries to Microsoft for Q4 of last year, intended to fill the pipeline, probably totaled about 2 to 3 times that number - so 3 to 4 of that 34 million number was game console parts. In the event, Xbox sales fell off rapidly after the initial burst, and Microsoft probably bought a lot fewer parts from Intel in Q1 than either company expected. I notice that we didn't get numbers for Q1, only your 34 million for Q4 of last year. My estimate is that, including Xbox sales, Intel unit sales were solidly down for Q1. The fact that their ASPs were barely any higher after removing all those game console outliers from the median indicates that P4 ASPs are probably lower than those of the PIII parts they're replacing.