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

To: TechieGuy-alt who wrote (197206)	5/16/2006 11:15:14 PM
From: dougSF30	Read Replies (1) \| Respond to of 275872

I think the Doug is giving too much weight to Intel having a ~20% performance lead in some apps. For ~80% of the market- the top two CPU bins are a non-issue. I suspect it will be a 20% performance lead on average. Some apps more, some less. Thinking that this only affects "the top 2 bins" is utterly misguided, and I don't mean the fact that this is closer to 3 bins than 2. Think about what this means for the whole bin distribution. Suddenly, AMDs top bins, relatively difficult and expensive to yield, become mainstream parts at best. And their mainstream bins? The sweet spot? Welcome to the discount value-bin. A significant performance lead by one competitor (and 20% is enough) causes huge margin problems for the rest of the field, because of the pricing curve, and speed-bin output distribution curve. It is NOT just about the fastest bins.