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To: FJB who wrote (27777)	7/2/1998 12:48:00 PM
From: Paul Engel	Respond to of 33344

Bob - Re: " Just ask some of the people that may have bought at close to $100." Why don't you tell us about all the Cyrix shareholders who bought Cyrix at $32 when Intel was at $102? The Cyrix shareholders have seen a drop to $10.66 - a 67% LOSS compared to Intel's 28% loss. Are these guys all as happy as you holding Cyrix at an equivalent of $10.66? Maybe you prefer BIG LOSSES. Paul

To: FJB who wrote (27777)	7/2/1998 2:39:00 PM
From: Dale J.	Read Replies (3) \| Respond to of 33344

First, is a company(Intel) in the midst of layoffs and plant closures in a position lower ASPs far enough to affect the competition? Robert, You make it sound as though we are talking about Chrysler circa 1980. Yes, Intel is in a position to lower ASPs and that is what they will do if required. But they will also try to expand the market. Second, do you think the Intel layoffs and plant closures are related to 8 of the top 10 PC manufacturers jumping ship to other MPU suppliers in the last year and a half? Yes, But you make it sound as though the 8 out of 10 PC companies that jumped ship are out celebrating over their newfound profits. It has been a disaster for IBM, HP, CPQ etc. CPQ made a mess of their business. I suspect they will begin to rethink the situation. Lastly and most importantly, can Intel maintain their business model by competing in the sub-$100 MPU market? No, the business model for Intel will continue change. They have to deal with the mess even though they didn't create it. A 10% return on Intel stock is very good these days. Just ask some of the people that may have bought at close to $100. Don't get greedy. Well an investor has to keep a close watch on this market. We both probably agree if you invest in the semi stocks you should keep your eyes open. Dale