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.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Joey Smith who wrote (34024)	7/8/1998 12:30:00 PM
From: Time Traveler	Read Replies (2) \| Respond to of 1572171

Time Traveler guesses EPS for this quarter at $-0.33 +/- $0.03, based on the following: +$580M, revenue - $10M, interest expense -$310M, cost of goods without depreciation - $90M, marketing and administration -$130M, research and development -$120M, depreciation + $22M, tax benefit because of more loss again (welfare money) + $10M, joint venture credit 142.5M, shares out standing Does any one wish to challenge Time Traveler's humble speculation. Welcome, Time Traveler

To: Joey Smith who wrote (34024)	7/8/1998 1:38:00 PM
From: Robert Walter	Read Replies (2) \| Respond to of 1572171

Joey & Paul, If you follow AMD closely enough you will realize AMD's strategy now is to try to compete with Intel over a broader ranger of the market than just the mid to low end. The K6-3 will provide AMD with the mid to low end chip going into 1999. If AMD is going to be successful going forward in 1999 they will need chips selling at higher margins than the K6 family. By contracting oem manufacturing of the K6 family at IBM it gives AMD the chance to open some floor space at Fab 25 for K7 production. From again the "rumor mill" K7 silicon has already made and that working engineering samples are out. As I am sure you are aware AMD has stated that they will be demonstrating the K7 at this years Microprocessor forum this fall so working silicon at this point is a must. That leaves Paul's questions regarding chipsets and motherboards to be addressed before oem's can incorporate the k7 into systems. From what I have heard the chipsets are very similar to existing alpha chipset so the design and verification should not be to much of a problem. Getting motherboard oem's to manufacture the boards certainly is a much bigger hurdle to cross. However even that should not be too much to overcome since Compaq purchased DEC and they are continuing to support the Alpha and have just released new high end alpha servers and workstations. The motherboards according to all reports will be compatible with alpha chips also so that if Compaq or what every oem does not want to use a K7 they could use and alpha. This gives them enough security in case AMD can not deliver or the product acceptance is poor. As for using different motherboards look at the success of NSM's GX media chips. It has been established if the product works well and has compelling pricing pc oems will use it. All this will at least provide AMD's stock to be in play again as speculators come out to listen and buy Jerry's hype. Remember Jerry could sell ice to Eskimo's. Robert