Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Petz who wrote (86131)	7/31/2002 1:54:16 PM
From: TGPTNDR	Read Replies (2) \| Respond to of 275872

Petz, Re: <All we really know now is CPU sales:> Correct. But we can also pick up from Rob Herb's comments during the Q&A from the 2Q CC. "<Rob> Yeah, a couple of things, and I'll try to tie a few of them together, a couple of questions came up on the whole concept of ?? the inventory out there. We noted in April that in Q1 we saw a fairly significant increase in shipments of CPUs over what the actual consumption of what PCs was. We, as a result, got involved with our customers to understand our own inventory levels, to make sure they were well positioned with the freshest materials so they could go to market in the most competitive position possible. We already said that entailed taking some returns in some places, changing what was shipped in some places, and various other activities. We're going to continue to monitor that, you know, and as we go through the Q3 and Q4 that clearly has an impact on what the actual shipping ASP is, but we also want to make sure that our customers get the right amount of inventory so we can be competitive in the market place. The interesting thing on Q2 is I heard Intel say they thought drained inventory somehow. We track our numbers pretty closely, you know, based on the shipments we made, we're pretty confident in what we drained, but if you look at what we just said, we said we shipped over 6M processors in the PC marketplace. If you think Intel shipped 29 or 30M, that says there was somewhere between 35 and 36 million PC processors shipped. I don't know what anyone's early estimates are for PCs sold in Q2. My concern it may actually be less than the processors shipped once again. Part of the uncertainty we have right now is making sure we aggressively and diligently manage the inventory making sure we're accounting for what is happening in the end market ?? PC processors. And, ah, that will have an impact on the overall ASP as we go forward. But, you know, the combination of what we're expecting in unit shipments and ASPs, as Hector said, we are expecting some modest growth, largely as a result of seasonality in the PC market." So Rob's point seems to be that AMD shipped and sold 6M+ CPUs, that Intc shipped between 29 and 30M CPUs, for a total of around 35M, but he has concerns that the PCs sold weren't that high. -tgp