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

To: tejek who wrote (82993)	6/19/2002 9:36:59 PM
From: hmaly	Read Replies (1) \| Respond to of 275872

Ted Re... Sure AMD has problems but so does INTC.<<<< I have read most of the posts for the day, and it seems that no one has made a connection with one of the main reasons for the bad warning. If you recall, they said last night that AMD had announced at its 10-02 CC, that AMD had sold more to the OEMs than the OEMs had sold. In other words, AMD stuffed the market. Why, because that CC was Jerry's swan song. Secondly, this also was Hectors first. It is likely that AMD's last 2 quarters were worse than reported, but because of the stuffing of the channel, to make Jerry go out in style, there was a huge overhang for this quarter. Being Hector's first, he also wanted to get the bad news out early, and may have helped along the bad quarter, in order to make subsequent quarters look good. Why do I say this? 1) Hector did say that there was a lot of overhang from the first quarter. 2) Hector did say that they were going to be all 13u by the end of next quarter. A fast conversion, if the 13u problems were as intractable as led on. The problem may have been partly because there was a lot of 18 u Pallys out there yet. In any case, their 13 u problems must have been corrected, as AMD is going to be totally converted before Intel even. 3) Most of the other segments seem to be picking up. Flash etc. And we haven't heard of AMD having big problems with their OEM's. 4) While Intel has the high end, we should recognize that the high end didn't sell well, which should have played into AMD's arena, as AMD owns the value market in price/performance. The fact that it didn't, and neither Intel or the motherboard man. didn't mention market share gains, leads me to believe that the low end was sold last quarter, rather than lost to Intel. 5) Hector said that AMD still has a billion in the bank, which would mean that most of the losses were paper loses. Everyone should recognize that cash is king in these times. As long as AMd maintains that cash, solvency won't be a problem. I don't have a lot of AMD stock now. However, I have a buy in at six and some change, and I am hoping to take advantage, or sell my soul to the devil, whichever the case may be.