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To: Paul Engel who wrote (70560)1/5/1999 8:22:00 PM
From: puborectalis  Respond to of 186894
 
Technology News

Intel Rolls Out New Xeons
(01/05/99, 7:56 p.m. ET)
By Marcia Savage, Computer Reseller News

Intel pushed harder into the server market Tuesday,
rolling out new versions of its high-end Pentium II Xeon
chip to support four-processor servers.

The three new 450-MHz processors, with 512
kilobytes, 1 megabyte to 2 MBs of Level 2 cache, offer
the performance features needed for server applications
such as e-commerce and enterprise resource planning,
according to Santa Clara, Calif.-based Intel.

During a briefing, John Miner, vice president and
general manager of Intel's enterprise-server group, said
applications that will greatly benefit from the larger, 2
MBs of cache include database-intensive applications.

The new Xeon chips reflect Intel's goal of moving up
the enterprise-computing ladder, Miner said.

Later this quarter, Intel will announce the 500-MHz
Tanner, the next in its Xeon family line of processors for
servers. Tanner will incorporate the Katmai new
instructions, which include enhanced 3-D graphics and
speech-recognition capabilities.

Miner said Intel will make an announcement about
processors to support eight-way servers later in the first
half of this year. "Stay tuned," he said.

The server market is growing fast, due primarily to
growing Internet use, he said. The market requires
high-performance processors and platforms, tends to
consume multiple processors, and products for the
market command higher prices due to their complexity,
he added.

"It's a very good business proposition for Intel and we
intend to pursue it," Miner said.

In 1,000-unit quantities the 450-MHz Xeon processor
with 512 KBs of L2 cache costs $824, the version with
1 MB of L2 cache costs $1,980, and the version with 2
MBs of L2 cache costs $3,692.

Several vendors announced or will announce four-way
server systems based on the new Xeon chips. They
include Compaq Computer, Data General,
Hewlett-Packard, and Unisys.

Nathan Brookwood, analyst at Insight 64, Saratoga,
Calif., said the Xeon processor "is like a hot knife
through butter." In the midrange server market, Intel
competes against proprietary RISC vendors, and
offers lower-priced chips, he said.

"The more [Intel] can do to drive their sales into that
part of the market with the Xeon, the better for its
overall economic performance and the market overall,"
he said.

At Tuesday's meeting, Miner also talked about the
effort to build enhanced I/O capacity through the
next-generation I/O (NGIO) specification for future
Intel-based servers. The effort sparked controversy late
last year, when IBM, HP, and Compaq demanded they
have more control of new specification. The companies
also wanted royalty and licensing fees on I/O
technology they pioneered, sources have said.

Asked whether any progress had been made between
Intel and the three server giants, Miner said, "There are
ongoing discussions. At this point in time, the situation
hasn't changed."

He said Intel would welcome the companies'
participation in the project, but has not yet seen any
proposals from them. He added that NGIO will be an
industry-developed, open, and royalty-free
specification.



To: Paul Engel who wrote (70560)1/5/1999 8:24:00 PM
From: puborectalis  Respond to of 186894
 
A service of Semiconductor Business News, CMP Media Inc.
Story posted 5:30 p.m. EST/2:30 p.m., 1/5/99

Intel, European chip makers
saw higher sales in 1998

SAN JOSE--In what many market observers believe was the worst year for
the semiconductor industry since the mid-1980s, Intel, Philips, ST
Microelectronics, and Siemens were the only top 10 chip makers to register
revenue gains in 1998, according to estimates released by Dataquest here
today.

In fact, seven of the top 11 chip vendors saw their worldwide sales drop by
at least 14% in 1998, said the market research firm.

"Semiconductor vendors around the world are glad to see the back of 1998,
a year slated to be the worst since the mid-80s," noted Joe D'Elia, associate
director and program manager for Dataquest's Semiconductors Europe
program, based in Engham, England. "The DRAM market is sailing in
uncharted waters, having suffered its third bad year in a row, over-capacity
reared its head in previously profitable product segments, and the
ramifications of the Asian financial crisis continued to be felt throughout the
year."

Intel Corp., of course, again repeated as the largest chip maker in the world
during last year with a 4.3% increase in sales to $22.7 billion. Second-place
NEC Corp. saw its revenues, measured in dollars, fall 19.1% to $8.3 billion
in 1998, according to Dataquest's preliminary ranking (see table below).

"In general, companies with DRAM in their portfolio fared badly, however
there are exceptions with Siemens growing at more than 12% in 1998," said
Kevin McClure, senior market research analyst in Dataquest's worldwide
Research Operations group in San Jose. "On a regional basis, Europe was
the only region in the world where vendor revenue gains outnumbered the
declines. Seven of the top 10 vendors posted positive European revenue
gains in 1998," he said.

Of the top 10 chip makers, Hitachi Ltd.'s revenues fell the sharpest in 1998,
down 26.2% to $4.6 billion. Siemens AG's 12.4% increase in chip sales was
the highest growth rate among the top 10, pushing semiconductor revenues at
the German supplier to $$3.9 billion, according to Dataquest estimates.

Dataquest top 10 ranking

1998
ranking
1997
ranking
Company
1998
sales
1997
sales
%
change
1
1
Intel
$22.675
billion
$21.746
billion
4.3%
2
2
NEC
$8.271
billion
$10.222
billion
-19.1%
3
3
Motorola
$6.918
billion
$8.067
billion
-14.2%
4
5
Toshiba
$6.055
billion
$7.253
billion
-16.5%
5
4
Texas Instruments
$6.000
billion
$7.352
billion
-18.4%
6
7
Samsung
$4.752
billion
$5.856
billion
-18.9%
7
6
Hitachi
$4.649
billion
$6.298
-26.2%
8
9
Philips
$4.502
billion
$4.440
billion
1.4%
9
10
ST
Microelectronics
$4.300
billion
$4.019
billion
7.0%
10
12
Siemens
$3.866
billion
$3.441
billion
12.4%
10
8
Fujitsu
$3.866
billion
$4.622
billion
-16.4%

Source: Dataquest


All material on this site Copyright © 1998 CMP Media Inc. All rights reserved.

Stories in January 1
SBN publication
Chip industry hesitates
to predict bona fide
recovery
Scalpel, EUV make the
cut for future lithography
Taiwan's foundries aim
to be second source



Links to past
SBN publications


For information about
equipment, products, materials,
and services for semiconductor
manufacturing, click here to go
to SuperSite/Semiconductor.


Search EDTN and selected
industry sites; for SBN-only
search, see left-hand column.




To: Paul Engel who wrote (70560)1/5/1999 9:50:00 PM
From: John O'Neill  Read Replies (2) | Respond to of 186894
 
paul...there are a host of ones to sell naked puts on ....INTC, for example...AMAT, KLAC, MU and on and on...with INTC going to $190 by April it's a piece of cake....



To: Paul Engel who wrote (70560)1/5/1999 10:19:00 PM
From: semi2000  Read Replies (2) | Respond to of 186894
 
Paul, thanks for your response on Jordana.

Can you give your preference if you have to buy some of following at
these levels?

INTC, AMAT, KLAC, NVLS, LRCX, LLTC, MXIM, ALTR, XLNX, DPMI, PLAB

Thanks a lot!

semi2000