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

To: Yousef who wrote (184032)	4/10/2006 3:35:06 PM
From: TimF	Read Replies (1) \| Respond to of 186894

Intel may have higher yield. I think in the past it has, now I don't know. I don't think enough information is public to make more than an educated guess and different people's guesses vary widely. Personally I don't think either company stomps all over the other in terms of yields despite what the partisans for both companies claim. Since variable cost of Fabing a x86 CPU is normally a small part of the chips price AMD has an incentive to try and keep selling. AMD also has a lot less overhead than Intel. If Intel initiates a price war it will be shooting itself in the foot. Maybe it will be shooting its rival in the foot as well but that still doesn't put Intel in a good position. A scorched earth price war hurts everyone. Even if Intel maintains a profit it will be a small one, and lower prices will have some momentum, its not like Intel could just fight off AMD and raise prices a few weeks after the price war starts.