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


To: AK2004 who wrote (177279)3/26/2004 1:23:32 PM
From: GVTucker  Read Replies (1) | Respond to of 186894
 
albert, RE: is not that sorta contradict your argument?

No, not at all.

There isn't much that differentiates Intel processors from AMD processors. The primary reason that Intel can charge more for their processors is the equity built up in their brand name.

Even if AMD and Intel processors were exactly the same (i.e. MPUs became 100% commodities), it would still be quite possible for Intel to charge more if they marketed their product properly. There are a whole host of precedents in consumer products where equal items are charged differently depending upon the brand equity inherent in the products.

IMO, the Intel marketing strategy we've been discussing lessens the value of their brand equity and decreases the potential premium that they can charge over AMD.