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

To: rzborusa who wrote (135767)	10/11/2004 2:50:57 PM
From: niceguy767	Respond to of 275872

"They are addicted to ASP" By golly, I think that you are onto something there! INTC's margins are declining despite their all-out effort to impede AMD's successful $share grab in q3. Obviously INTC has used up all its product trump cards and now even its "bundled goods" marketing armlock on OEM's appears to be losing its grip as evidenced by AMD's improving margins by 3% in q3! Heck, AMD's margins might have improved 7% in q3 were it not for INTC's all-out effort to impede the success of AMD's "Opteron family" of products. Until INTC can deliver a prroduct that is price/performance competitive with AMD's "Opteron-family", AMD's margins are going to continue to improve as, like you pointed out, "They are addicted to ASP" so price drops aren't in their playbook now that their margins are already getting squeezed!