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

To: Maxwell who wrote (41084)	11/8/1998 11:44:00 PM
From: kash johal	Respond to of 1574061

Maxwell, These MDR's numbers do not reflect depreciation and some hidden costs at Intel. Intels wafer costs must be much higher than $1800. Intels ASP's are north of $200 say $225. Overall corporate gross profit margin has been around 50%. As Celeron and PII revenue was over 80% of Intel's revenues. Intels costs on Celerons and PII's must have been in $100 range even assuming the rest of product lines are at break even. Unless they lose BIG BIG money on all their other products like Flash, Board level products etc. Something at Intel does not compute regards their cost structure. Regards, Kash