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To: Joey Smith who wrote (54643)	4/28/1998 2:02:00 AM
From: Paul Engel	Respond to of 186894

Joey - Re: "Celeron a little while back and I think you responded by saying $30 cost. " The UPPER end of the silicon cost is $30 - most likely lower for Celeron and Deschutes - which ARE THE SAME DIE! With Celeron prices at $155 - including BGA packaging, the SEC daughter card and miscellaneous components (resistors/capacitors), PC card assembly, plus testing - profits will be lower than standard Pentium II devices which sell for more than 1.5x to 5x, depending upon speed grades. These Pentium II's do contain L2 SRAM chips, so their costs will be higher but not in proportion to their ASPs. Paul