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To: DiViT who wrote (33724)6/10/1998 5:46:00 PM
From: John Rieman  Read Replies (1) | Respond to of 50808
 
Intel "dumping" i740s in Taiwan.........................

news.com


Intel's graphics chip pricing: fair or foul?
By Michael Kanellos
Staff Writer, CNET NEWS.COM
June 10, 1998, 1:20 p.m. PT
URL: news.com
Is Intel coercive or not? The latest debate over the character of the chipmaker's business dealings centers on its foray into the graphics chip business.

On Monday, the Federal Trade Commission filed an action against the Santa Clara, California-based company for unfair business practices. But specific examples of misconduct, especially allegedly predatory pricing, more often than not prove elusive, according to analysts.

A case in point is the controversy surrounding the pricing on the i740, the graphics chip the company first issued earlier this year.

The i740 is currently selling for between $7 to $18 in wholesale markets in Taiwan, according to various sources, far below Intel's posted volume price of $28. One marketing research firm, 4th Wave, has said Intel is "dumping" the chip to gain market share, according to reports.

Others claim the real explanation is more complicated. Two LIVE stock quote
Delayed 20 minutes
Intel Corp.
INTC 68.5625 -2.32%
For more details, go to NEWS.COM Investor.
Taiwanese distributors are getting rid of their excess supplies of Intel graphics chips by bundling the chip with sales of Pentium IIs and 440BX chipsets, said Jon Peddie, president of Jon Peddie Associates, a Tiburon-based consultancy.

These distributors are charging board makers $8 for the i740 in a Pentium II bundle. In turn, the chip is resold to other "add-in" card makers for $18. Distributors, who pay a price in the mid-$20s for the i740, lose money on the chip but pick up the margin with the processor.

Accusations of dumping can also be partly explained by a worldwide surfeit in the market for this class of chips that began in March, said Peter Glaskowsky, graphics chip analyst for MicroDesign Resources. "Everybody's got this inventory," he said. Besides, although the price exceeds the manufacturing costs of others, it is likely well in excess of Intel's manufacturing costs because the company has already amortized its plant costs, he added.

"The cost of making an additional i740 is well below $10," he said. "They [Intel] can afford to sell them for very low prices."




To: DiViT who wrote (33724)6/10/1998 7:08:00 PM
From: John Rieman  Respond to of 50808
 
Toshiba shows it's Pegasus settop box..........................

ADVISORY ... for June 10-13 --(BUSINESS WIRE)--June 10, 1998-- WHO: Toshiba America Information Systems Inc., Multimedia Systems Division WHERE: Cable-Tec Expo'98, Booth No. 379, Denver Convention Complex, Denver, Colo. WHEN: June 10-13, 1998 at booth during show hours WHAT: Toshiba America Information Systems Inc. Multimedia Systems Division (TAIS MSD) announces that it is the first company to adopt Libit Signal Processing Ltd.'s breakthrough INCA (INcreased CApacity, INgress CAncellation) technology which maximizes bandwidth of upstream CATV channels even in incidences of high noise levels. Toshiba will implement Libit's DOCSIS (Data Over Cable Service Interface Specification) -compliant INCA technology in its Cable Modem Termination System (CMTS), which when used in conjunction with Toshiba cable modems, will enable cable operators to achieve an unprecedented 16 QAM for the return channel and provide subscribers with bandwidth up to 10Mbits for interactive services. TAIS MSD will also demonstrate its MCNS based cable modems; the MCNS Gateway, an MCNS cable modem termination system; and the Pegasus set-top box, during Cable-Tec Expo '98. MCNS Cable Modems: Toshiba is among the first to market with its MCNS-based cable modems which offer downstream data transfer rates of 40Mbps and upstream data transfer rates of 10Mbps. The cable modems provide enhanced bandwidth management and customizable features when used in conjunction with the company's termination systems. MCNS Cable Gateway: Toshiba's MCNS Cable Gateway is the first MCNS cable modem termination system with an integrated router. Designed for maximum fault tolerance, it can be operated in a lights-out environment, and features remote management capabilities for easy system administration. Pegasus Set-top Box: A preview of the company's Pegasus set-top box will be available as part of an interactive television demo. Pegasus is a digital set-top box that allows cable subscribers to access hundreds of television channels and access the Internet through the convenience of their television set. Toshiba will also promote its complete integration services for cable and communication companies. The company's scalable headend infrastructure is capable of supporting 3,000 to 30,000 users simultaneously.