SI
SI
discoversearch

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: Scumbria who wrote (39940)10/23/1998 8:15:00 PM
From: Tenchusatsu  Read Replies (2) | Respond to of 1575188
 
<Is Intel selling parts at a lower price than they need to? Using your logic, that would indicate that they are either stupid or not interested in making money.>

With my limited view on the world, I'll answer yes. I feel that Intel doesn't need to lower its prices this weekend because they are already forecasting sold-out conditions for Q4. AMD didn't make this forecast, although they'll probably hit it as well.

But from a less cynical perspective, I realize that these price cuts are just paving the way for the faster CPU's coming out in the future. Obvious neither Intel nor AMD is stupid. CPU pricing is a pretty tricky art. It's just hard for me, as an investor, to see how this drastic price slashing leads to more profit when production is limited. Or maybe production isn't as limited as I thought, or demand isn't as strong?

Tenchusatsu