Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Petz who wrote (41757)	12/8/1997 6:39:00 PM
From: StockMan	Respond to of 186894

P, Re -- The point of my initial post is that CPU chip production is gradually commoditizing and that barriers to entry are coming down. Please dont make me laugh anymore, my stomach already hurts from LOL!!! Stockman

To: Petz who wrote (41757)	12/8/1997 7:07:00 PM
From: Road Walker	Read Replies (1) \| Respond to of 186894

Petz, re: "The point of my initial post is that CPU chip production is gradually commoditizing and that barriers to entry are coming down. Intel investors better get used to making $100 profit per CPU (blended) instead of $150." I am not one of the folks on this thread that believes what is bad for AMD is good for Intel, in fact I believe that the industry is more healthy if AMD is healthy. Competition is usually good for the industry leader, keeps them from becoming complacent (witness Microsoft). However, your statement above is stated as an absolute and I question if you 100% believe that CPU's are, and will become more of, a commodity. If so, I suggest you sell AMD, as the entire industry would suffer, and computer innovation would come to an end. Is that what you want? John

To: Petz who wrote (41757)	12/8/1997 9:54:00 PM
From: greenspirit	Read Replies (1) \| Respond to of 186894

John, how do you figure barriers to entry in the microprocessor market are going down?? On the contrary the barriers to entry are soaring. That's one of the main reasons Cyrix was bought out by NSM. Fad costs are skyrocketing with every new plant. If anybody is really serious about competing with Intel, they better be ready to shell out 5-7 billion bucks. If Intel really felt threatened by any company, they would simply slash the price of chips to rediculously low levels and crush the competition. Making 5 billion dollars in profits gives them alot of flexibility. Michael