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

To: dougSF30 who wrote (124031)	6/17/2004 8:02:58 PM
From: eracer	Read Replies (1) \| Respond to of 275872

Re: No, that's a reason for AMD to maximize CPU revenues and profits. Releasing the fastest speed grade you can, as soon as you can produce a few, is often a mistake (as far as profits go), especially when the competition is already a speed grade or two behind in paper, and further behind in terms of broad availability. So you are saying that the 3700+/3800+/S-939 FX-53 launch was probably a mistake and is preventing AMD from maximizing profits. AMD was already ahead on performance, so why bother releasing these very expensive and relatively low volume parts? It is pretty clear AMD can't release a decent quantity of 2.6GHz CPUs now, otherwise the 2.4GHz launch wouldn't have been delayed and the 2.6GHz launch would be happening just in time for Intel's Socket-775 paper launch. AMD would be rolling in cash from more reasonably priced 3700+/3800+ CPUs in the $500-$600 range, while still being able to keep very high price tags on 2.6GHz parts. IF AMD could produce sellable quantities of 2.6GHz CPUs now there would be few good reasons to give Intel a few months to catch up and knock the ASPs down 20%. I think it is completely inaccurate to say AMD wouldn't be any better off if they were selling faster CPUs at the moment just because Intel has fallen behind a bit. The harder Intel gets pushed the more desperate they will become and the greater the chances of them doing something foolish.