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

To: Paul Fiondella who wrote (38562)	11/1/1997 12:35:00 AM
From: john o	Read Replies (1) \| Respond to of 186894

Re: "The chips going into those sub $1000 systems are currently in the P133 MMX and K6 200MMX price category." (BTW, I don't think the P133 comes in a MMX version. I could be wrong.) In San Diego, built to order no name systems containing a Intel 200MHz MMX with 32 MEG RAM, PCI motherboard, 3 GIG HD, 24X CD-ROM, floppy, mouse, KB, case, Win95, 33K modem, no monitor are running $1000. A 28 dpi monitor can be had for $150.

To: Paul Fiondella who wrote (38562)	11/1/1997 3:29:00 AM
From: Joe NYC	Read Replies (1) \| Respond to of 186894

Paul, They can't sell PII systems for less than a $1000 any time soon. The chips going into those sub $1000 systems are currently in the P133 MMX and K6 200MMX price category. I went to J&R Music World here in NYC and the main sub-$1000 items were Compaq Presarios with: Intel Pentium Classic 200 - $999 + monitor Pentium MMX 166 - $999 + monitor MediaGx 180 - $799 + monitor MediaGX costs less than $100, and I believe Compaq pays $100 - $130 for the Pentium chips. In December or January, MediaGXm comes out (in 200 MHz, maybe 233 MHz), for about the same price as GX. I think Compaq will keep the price at $799 for GXm model Compaq may keep MediaGX (200 - 233 MHz) and drop the price. With the Pentium models, Compaq will probably drop Pentium classic and will have to move to 200 MHz Pentium MMX. Intel will have to sell it for about the same price ($100 to $130) as what they pay for 166 or Compaq will move to AMD K6-200 or 233 with the $999 model. Joe

To: Paul Fiondella who wrote (38562)	11/1/1997 9:05:00 AM
From: Mary Cluney	Read Replies (1) \| Respond to of 186894

Paul, >>>the business model is out the window<<< That kind of depends on your frame of reference. My investment horizon is for a longer period than 30 days, 30 weeks, or even 30 months. Rather it is a buy and hold, buy and hold strategy for the next ten years. With some help from Morgan Grenfell's Ed Yardeni interview in the current issue of Barrons (and reworded to suit my point of view). For a number of reasons, Mr. Yardeni sees a serious market decline in the year 1999 to 2000 after the market closes in on 10000 (read the interview for details). In small part, the decline is related to the cost and disruptions caused by the y2k problem. Barring serious political disruptions (my thoughts), there is a global economic recovery starting in 2001, led by massive high-tech capital expenditures to replace computer systems (some of which may have failed to be y2k compliant). Isn't this about the time when Merced is in full production, big iron needs to be replaced, and engineering completed for products coming out of the Virtual National Laboratories (VNL)? Is there any way that Intel can miss? Well, if you don't concede to me on this, than at least let us say, knowing what we know, now, Intel is the best investment for the next ten years. No?, Mary

To: Paul Fiondella who wrote (38562)	11/1/1997 1:16:00 PM
From: Andy Patton	Read Replies (2) \| Respond to of 186894

Dear Paul: Re: your reply: >Yeh the margins tank, the business model is out the window and your stock goes down the drain... > Much less fun blowing smoke when you are sitting in .... Sorry to rile you. I've made no claims to be expert or even intelligent. As to Intel and its stock performance, I'm long, but realize this doesn't mean that I will be proven correct. I've been wrong before. Just trying to learn what I can. I've found many of Paul Engel's posts useful--again, this may be he result of my ignorance, but why should I pretend to a knowledge I don't have? In the meantime, he's doing me a favour simply by responding to my questions. I'd be glad to hear from you (or anyone) who could give me specifics on what might happen to Intel's margins: I already thought they would shrink, and your post doesn't give me anything but a blast. I don't think I've been blowing smoke--but apologies if I have. I may have read your post wrong as to tone, but I thought there was a bit of "serves you right if the stock tanks" to it. Why should anyone be happy if others get dragged down? I really don't get it... -Andy Patton