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

To: graphicsguru who wrote (247792)	2/14/2008 10:58:39 AM
From: pgerassi	Respond to of 275872

Graphicsguru: Intel is not trying to maximize its profits. If it was, CPU prices would be much higher. For a 10% reduction in market share, they can double prices. Its not like AMD can supply 60% of the market. And that assumes that AMD wouldn't follow suit to a good degree. Because of the above, it easy to see why Intel is not doing that. It wants to maintain its monopoly and is willing to reduce prices to do it. Not to please the customer, but to kill AMD off. After that, they can raise prices more than enough to pay for it and then some. Remember these low prices came after a long price war and haven't reset back to what they were. This is well known to anyone who has followed these companies for a while. Unbiased observers also know this to be true. Its Economics 101. Pete