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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Scumbria who wrote (67277)	10/23/1998 6:03:00 PM
From: Paul Engel	Read Replies (1) \| Respond to of 186894

Scumbria - re: "MP capability, which may open up a new high margin market for them." Listen - or re-listen - the AMD's most recent quarterly conference call. Sanders was asked by some analyst what he expected AMD's average selling price to be one year "from now" (the date of the call). In 0.5 nanoseconds, Sanders snapped "$100". Sanders has no interest in high margins or high profits - he only wants to flood the market with cheap CPUs so he can say "AMD took market share from Intel". With the K7 being much larger than existing AMD devices - and requiring "expensive" packaging, AMD is going to lose money on the K7. And AMD is very experienced in losing money. Paul

To: Scumbria who wrote (67277)	10/23/1998 7:21:00 PM
From: Tenchusatsu	Read Replies (1) \| Respond to of 186894

<1. Because they might be able to sell them at a high price. 2. MP capability, which may open up a new high margin market for them. AMD wants to get above the knee in the Intel price/performance curve.> Wait, previously you just said, "However, you do need a little bit of extra MHz to make money. Intel has severely skewed the price/performance curve to force this circumstance." Now you're being apologetic towards AMD for wanting to ride this same skewed price/performance curve. Competition is good for the industry, I'll agree. Mixed messages aren't. If AMD wants to fight Intel in other markets besides retail, then good luck to them. But you'll notice that even AMD is moving away from the sweeping generalization that you gave, which was, "You don't need that much power to run most software." It should be pretty obvious that AMD realizes what Intel has known all along: Performance Matters. Tenchusatsu