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: gnuman who wrote (50885)	3/23/1998 3:15:00 PM
From: Brian Malloy	Respond to of 186894

I don't view price cuts as inherently bad. It is what should happen especially when operating in an increasing returns world ala Moore's Law. INTC is doing exactly what it should do. Discount the old as you bring in the new. Now, what the price cuts do do to a company like CPQ that seems to be having trouble matching up supply and demand is another matter. Continued price cuts by INTC and the clear superiority of the Dell build to order model will make it painful for CPQ. It is this pain which will make CPQ a better company in the long run as they rise to meet the challenge over the next few years, and if they are able to profit from the Digital takeover.