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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Skeeter Bug who wrote (28680)	5/31/1998 4:46:00 AM
From: PaperChase	Read Replies (3) \| Respond to of 132070

Here is an excerpt from an article posted on the Intel thread about Intel's Mercy chip: "Intel may have opted to delay the Merced because of the weak PC market. PC growth is forecast to slow to 13% this year, down from earlier predictions of 17%. Japan, a key computer market, is still in a recession, and competition has heated up for Intel from smaller but scrappy rivals such as Advanced Micro Devices() Inc. and National Semiconductor Corp." Scrappy rivals? If Intel's rivals are scrappy then why is Intel lowering its prices so quickly? Did GM and Ford lower their prices when that scrappy car named Yugo was introduced in the U.S.? Absolutely not. Is a 6% reduction in the growth estimate responsible for blood in the streets? I think not. Sometimes I wonder what color the sky is in the world that analysts live in. However, I do know that reporters are servants in that world. <G> Here pool boy...

To: Skeeter Bug who wrote (28680)	5/31/1998 2:07:00 PM
From: yard_man	Read Replies (1) \| Respond to of 132070

I don't think it's lack of money for INTC. I think they are beginning to be cautious about future plans because they know margins must continue shrinking for the flagship line of mpcs. They are not sure yet what to pursue next. Merced is for workstations, right? This is the technology that is used to design or create new technology. If the business cycle hasn't been abolished -- investment actually begins to slow its rate of growth, perhaps INTC is questioning if this is where the fat margins are to be had?

To: Skeeter Bug who wrote (28680)	5/31/1998 2:29:00 PM
From: Knighty Tin	Read Replies (1) \| Respond to of 132070

Skeets, that's possible, but I am more inclined to believe that the product is probably a big yawn. If it really opened new vistas and would be a hot seller, they would hurry up introduction. Since pcs are not selling, there is no sense dumping the product into a saturated, declining market. The higher price they want would simply be laughed at. Also, I find it interesting that they plan to introduce the chip after the Y2K disaster has passed. Maybe then, some of the gullible IS types will have some cash to spend on unnecessary but expensive products. <G> MB