Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

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

To: Harry Landsiedel who wrote (69576)	12/7/1998 7:50:00 PM
From: Tony Viola	Read Replies (2) \| Respond to of 186894

Harry, Re: "If history is a good guide, Intel will probably comment in the 4Q earnings announcement on a cap spending number for 1999." Exactly the note I made listening to the conference call after 3Q, on 10/14/98. The fact that Intel mysteriously had no estimate to give WRT cap expenditures for 1999, at that late of a date surprised me a lot. In retrospect, Intel must have been going over the cap spending budget for '99 with a very fine tooth comb, and reduced it big time from whatever it had been (JMHO). I'll bet, though, that the thrust for it was strictly for the purposes of cost cutting to the bottom line, rather than giving up any manufacturing capability, again IMHO. Sometimes you "try harder" in cost cutting than at other times. It's not the most fun thing to do. Part of my notes from SI, 10/14: INDIVIDUAL QUESTIONS - Steve Orr, State St Research...how's October start...Paul - excellent, extension of 3Q (see 3rd point before this part). - Tom Bogan ? firm...turns outlook?...didn't get. - Jack Geraghty...What do cap expenditures look like for '99? Andy...don't have prediction yet. My comment...'99 budget not complete yet? In general, Intel not giving much of '99 predictions, but will after 4Q results (Jan. '99). Street doesn't care for this (me). - Ashok Kumar...Nice qtr.!...2Ques's, 1. wanted product split info re different segments...Paul said Intel doesn't give this. 2. Japan recovery?...can't tell. - Jim Bartlett...Xeon shortage status? Paul said demand for Xeon is higher than even Intel expected. Intel is in "good shape" now re one way and 2 way MP (can meet high demand), and will be in good shape on 4 way, 8 way in about a month, i.e., no longer supply constrained. - Scott Randall...what is Q4 visibility WRT turns for all channels. Paul again avoided (I think) the turns word, but said ALL three channels: distributors, OEM (box makers) and direct wanted product NOW. - David Wu...all I wrote down was 4Q very strong in US. - Drew Peck...Will Celeron encroach on PII sales. Paul...no, Celeron is doing its job of replacing PMMX. PII sales are strong and TV and other ads intended to keep that way.