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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: TI2, TechInvestorToo who wrote (14710)	1/15/1998 3:24:00 PM
From: David Aegis	Read Replies (1) \| Respond to of 70976

TI2, your comments are consistent with what I have heard from various industry contacts. From what I've heard, Canon is the only supplier to ship a prototype 300mm lithography tool, and with the definite lag times from prototype to pilot line to production, manufacturers have decided to stick with 200mm. 300mm is being pushed out, and 200mm shrinks to .25 mu and .18 mu will drive equipment demand in 1998 and 1999. --David

To: TI2, TechInvestorToo who wrote (14710)	1/15/1998 5:05:00 PM
From: Teri Skogerboe	Read Replies (1) \| Respond to of 70976

TI2, reference article on 300 mm delays... James Morgan said in a CNBC interview about a month - 2 ago that 300mm would be a significant factor for his company around the Year 2000. Intel has made the decision..... They are still buying equipment(~5B$). Comments? If my hearing is working okay, Intel said on their CC on 13 Jan 98 that they are forecasting $5.3B in CapEx for 1998. Of this amount $700 million is for the purchase of the DEC fab, if approvals go through from the Government. They further stated (during the question and answer session) that the CapEx (after deducting the $700M for the DEC purchase) would be divided ~ like this. One-third for bricks and mortar One-third for fab equipment One-third to run the rest of our biz, assembly, test, engineering, tools and such. $5.3B - .7 (for DEC fab) = 4.6B/3 = $1.5333B for "fab equipment" Last year INTC had budgeted $4.5B for CapEx, and mentioned in the call also that this year's break-down was very similar to last years (the third, third, third part). I took all this to mean that Intel's Cap Spending will be almost flat year to year. Can anyone else who listened to the INTC call confirm or dispute my impressions? Thanks in advance. My opinion/view, Teri PS. One more thing, the CapEx forecast was included as one of the numerous items that is subject to the "forward-look" Safe Harbor Act.