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

To: Paul Fiondella who wrote (41103)	11/27/1997 6:27:00 PM
From: Elmer	Respond to of 186894

<It blows the 166MHZ Pentium systems being sold at the same price out of the water. > It does, but why isn't the Pentium system considerably cheaper, seeing as the 166mhz sells for less that the K6. <When AMD ramps up production next year, I would expect Intel margins to get squeezed even more as it is forced to give up those juicy margins. AMD's strategy is in place. What's Intel's strategy? > I guess it's obvious to everyone but you. Lower prices so that AMD can't make a profit and simply bleed them until they die. It seems to be working. EP

To: Paul Fiondella who wrote (41103)	11/27/1997 6:29:00 PM
From: john rentchler	Respond to of 186894

Hey Fiodulla, Why don't you give it up ! Enough of your dribble. You're going to bet against the best co. and the best minds in the world with your techo pea brain arguments ? You're a loser, buddy ! Enough already.We've heard it all before. Face it....you're a bore. jr

To: Paul Fiondella who wrote (41103)	11/27/1997 9:01:00 PM
From: Mary Cluney	Read Replies (4) \| Respond to of 186894

Paul, >>>AMD's strategy is in place. What's Intel's strategy? <<< The reality is, for the full year 1997, Intel will have sales closer to $25 billion than AMD will be to $2.5 billion. If you looked at net income, the situation is even worse. AMD's net income will be negative whereas for the full year 1997 Intel will have net income well over $6.5 billion. This means that even if AMD had no expenses - didn't pay their employees, didn't have to pay taxes, rent, raw material, didn't have to pay Mr. Sanders - Intel's net income would still be almost triple AMD's. Take a look at the balance sheet. Intel has almost $10 billion in cash and long term debt under $400M. AMD has $512 million cash on hand with long term debt over $650 million. The reality is that even if AMD is to survive,(in a financial sense - AMD's survival is not guaranteed), it will be years before AMD is truly competitive. Competitive like Hyundai is to Toyota, or Burger King is to MacDonalds, or Apple is to Dell. Having said all this however, I believe that AMD can survive and maybe even thrive. But, they can only do so only if Intel is thriving and AMD is able to capture an acceptable market share - say 25% of a $100 Billion dollar market. They are more likely to suvive and to thrive only if Intel can expand the market and Intel can convince analysts that the industry deserves a much higher PE. In this area, convincing Analysts that this industry is in the forefront of technological importance, Intel is really doing a poor job. This is not a zero sum game. In fact AMD can only succeed if Intel becomes more successful - not less. Mary