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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: DavidG who wrote (40142)	10/19/1998 10:13:00 AM
From: Dave Gahm	Read Replies (2) \| Respond to of 53903

DavidG, You are correct that 100 million chips a quarter would get their gross cost down to $3-4 dollar. Of course that is more than double current production at Boise, and probably a year out. Meantime the price will decline, so maybe they get to bottom line breakeven after spending another $800 million for .18 geometry. As for the TXN fabs, they are far behind and will be big money losers until they are upgraded. And of course bit output will at least triple in the process. Wow, that's good news for a market that is currently over-capacity and facing the prospect of declining demand growth. Consumer spending is slowing as the contagion hits the US and average folks start to worry. If the US slips into recession who do you think will be buying all the PCs MU is ramping bit production for? Regards, Dave