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

To: Scumbria who wrote (48645)	2/5/1999 2:11:00 AM
From: Paul Engel	Read Replies (1) \| Respond to of 1572599

Slick - Re: " Intel is using their Xeon profits to try and drive AMD out of business. Do you dispute this statement? " How did AMD get 15% of the retail market? They undercut Intel's pricing structure. In a competitive economy, which this is, Intel cut its prices to maintain and regain market share. Nothing wrong with that - is there? We are living in a free country - are we not? If AMD then has to cut their own prices - and lose money - well, that's the breaks. AMD has the smaller die, right? They should still make a profit, right? If they can't make a profit, then maybe something is WRONG with their cost structure. Have you discusssed AMD's die costs with anyone at AMD ? Paul

To: Scumbria who wrote (48645)	2/5/1999 2:18:00 AM
From: Fred Fahmy	Read Replies (1) \| Respond to of 1572599

Scumbria, <Intel is using their Xeon profits to try and drive AMD out of business. Do you dispute this statement?> First, there is nothing illegal or unethical about trying to weaken your competition. Do you deny that AMD was trying to take market share away from Intel by undercutting Intel's prices?? No, I don't think Intel is trying to drive AMD out of business, I think they are trying to gain back share. Using Xeon to provide a favorable overall ASP mix while being aggressive at the low end is not only totally legal, but good business sense. Intel's job is to maximize profit dollars for its shareholders. Dealing with competition is part of that job. If your competition takes share away (by continually vowing to undercut your prices by 25%), then it should be fully expected that you will take whatever legal steps are required to gain share back. That is what Intel is doing and they are doing it quite well and with increasing overall margins. Nice isn't it. Instead of being so emotional and stubborn you should be more rational and rethink you investment decisions. FF

To: Scumbria who wrote (48645)	2/5/1999 2:19:00 AM
From: Paul Engel	Read Replies (2) \| Respond to of 1572599

Slick - You'll like this one ! You think AMD is feeling the heat? " A 466MHz Celeron is expected to follow later in the first half. " Did you know that Intel's costs for 300A Celeron, a 333 MHz Celeron, a 366 MHz Celeron, a 400 MHz Celeron and a 433 MHz Celeron may all be about the same? Paul {===========================} zdnet.com Intel to step up release of 433MHz Celeron By John G. Spooner, PC Week Online February 3, 1999 1:03 PM ET Intel Corp. is accelerating the rollout of its next Celeron processor. Following closely on the expected late-February release of its 450MHz and 500MHz Pentium III, the Santa Clara, Calif., company plans to ship a new 433MHz Celeron on March 15, according to sources. The processor was originally scheduled for release in the second quarter. A 466MHz Celeron is expected to follow later in the first half. Both new chips are expected to utilize 66MHz system bus architectures, sources said. They will join the 366MHz and 400MHz desktop and 266MHz and 300MHz mobile Celerons introduced in January. Coinciding with the new 433MHz chip, Intel (INTC) will drop prices on existing Celerons by 15 to 20 percent, sources said. A 400MHz Celeron using Intel's 370 pin plastic pin grid array package, for example, would fall in price from $158 to about $120, the sources said. Intel officials in Santa Clara, Calif., declined to comment. In other news, Intel and Analog Devices Inc., of Norwood, Mass., on Wednesday announced a joint development agreement to design a digital signal processor core. DSPs are used in a variety of applications, including pagers and cellular phones. The two companies will establish a joint design group located in Austin, Texas. The group will design the DSP core, programmers' tools, and other elements for third-party developers and OEMs. The first DSP core design is expected in the second half of 2000. Although the companies will collaborate on design, they will market and sell products separately. Intel can be reached at www.intel.com.