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

To: Bill Jackson who wrote (41402)	11/13/1998 12:35:00 AM
From: Elmer	Read Replies (2) \| Respond to of 1571924

Re: "Elmer, What you and Scumbria say seems quite valid. I expect the gradual elimination of assorted defects is the real art in fine uning a line. AMD/Intel might be expected to approach a similar end point as they find that there is a law of diminishing returns operating and it might be pointless to try to eliminate some defects as the cost exceeds the extra profits. Fine tune the production dance." Doesn't it really depend on volume? If it costs $100 million to eliminate some class of defects, it may be worth it to Intel, based on their industry dwarfing volumes, yet not worth the ROI to someone else. I think Intel's chipset division actually ships more logic silicon then anyone else in the world by far, even their microprocessor division. These kinds of volume justify process adjustments that no one else could afford to make. The cost of improving yields gets spread across so many more units that Intel may actually be achieving yields that no one else can approach. EP