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

To: economaniack who wrote (219909)	12/10/2006 11:28:18 AM
From: kpf	Read Replies (1) \| Respond to of 275872

e if AMD was paying ten digits to develop a process node every two years, I would agree that it was a significant scale economy for Intel to amortize that amount over its larger output. It does - that's what it costs. While it can not earn it in the nodes currently, but depends on subsidy grants to make it possible - and helping hands in the background from IBM and many others, some of which you have mentioned. Fortunately there is people with sane minds around on this the planet helping to prevent us from a monopoly: Anecdotically, at AMD's Grand Opening of Fab36 last year the former German Chancelor Gerd Schröder delivered his adress. At this time he was voted off already, but still officiating. This gave him an opportunity to deliver a speech of authenticity instead of just producing bubbles of political correctness. He made this statement, among others: "We don't know whether the subsidies we, the state of saxony and the European Union have granted to make this event possible will ever carry the fruits we hope for. But, dear friends, ladies and gentlemen, if we feel something needs to be done - we just do it." While he looked awful for the reasons mentioned above, he presented the latter one with an open smile. K. p.s: If you want to make a case for natural monopolies, I'd suggest you look at the dynamics of semiconductor-economies.