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

To: Morris Tseng who wrote (35993)	8/14/1998 2:14:00 PM
From: StockMan	Read Replies (1) \| Respond to of 1585837

I hope not. The more K6-2's AMD sells the more the loss. AMD has to meet the target of loss of less than 20 million this Q. Otherwise the creditors will take AMD stock price Way way down.

To: Morris Tseng who wrote (35993)	8/14/1998 4:49:00 PM
From: Bill Jackson	Respond to of 1585837

Morris, The major OEMs will not pay extra.(Unless they buy spot) It is the screwdriver shops that will pay more, partially redressing their price advantage versus Dell, CPQ etc. Many spot parts may disappear as they are largely supplied from OEM excess stocks as well as "fake" OEMs. A "fake" OEM is a manufacturer who contracts with Intel to build 10,000 computers per month and buys 10,000 CPUs, Chipsets etc. and who actually builds 1000/month and sells 9000 sets on the spot. In times like this they will make a fortune. Intel of course may cut them off if they discover them doing this, but as long as they pay their bills and have a factory that looks like it is making computers they can always wiggle out. Some say Inetl knows all about them and lets them live as a valuable mechanism. Those spot buyers who cannot get CPUs are out of business or selling AMD, so I look for a good(less loss?) quarter for AMD. Bill