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

To: Yousef who wrote (50387)	3/10/1998 3:28:00 AM
From: Paul Engel	Read Replies (3) \| Respond to of 186894

Yousef - Re: "You are falling into the trap of assuming that TSMC and IBM will sell wafers at "cost" to AMD/Cyrix .." How patently ridiculous! Everybody wants to help AMD and Cyrix beat Intel. TSMC and IBM will sell their wafers BELOW COST to Cyrix and AMD. These companies (TSMC and IBM) are not interested in profits. Their goal on earth is simply to help Jerry Sanders and Fuchi regain their prior stature. Paul

To: Yousef who wrote (50387)	3/11/1998 3:33:00 AM
From: ed	Respond to of 186894

AMD's loss may not come from the CPU product line. As you know every semi company has price pressure in the previous quarters, be it MU, NSM, ADPT . you name it. Without the CPU product line, AMD may end up losing more. As to the cost of CPU, My reasonable estimation for CYRX with TSMC's 8" wafer , say .35 um technology (.25 um is on the way, and .18 um is under development as what I heard) is about $30 to $40, so by selling at $75 (25% less than INTEL ) , the profit margin is still not bad, also remember TSMC had very good process technology.