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

To: Elmer who wrote (50920)	2/25/1999 6:10:00 AM
From: Bill Jackson	Read Replies (3) \| Respond to of 1572120

Elmer, Intel made a strategic decision to cut prices to damage AMD. It is as simple as that. If they were both the same size, selling identical products with identical raw material costs they would both lose profits equally. Since Intel is approx 10 times the size of AMD then for every $ they cost AMD they cost themselves $10. That Intel made $2B per quarter does not affect this logic, we all know Intel is profitable and AMD is marginal. This is like the big kig beating up the little kid, we all know he is a big kid and can kill the little kid...we need to protect the little kid from the exact kind of bully action it now faces. Sad to say the DOJ acts so slowly that AMD may be destroyed?? still they soldier on with a little help from their friends at Compaq and Gateway....who now see the value of a competing CPU supplier and actively give business to AMD. They would be fools to cut AMD off and then see CPU prices jump up once AMD was gone. Bill