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

To: Scumbria who wrote (74591)	2/26/1999 1:35:00 PM
From: JDN	Read Replies (1) \| Respond to of 186894

Dear Scumbria: But you just said that if PC's have price war INTC would have to lower their prices as OEM's would look elsewhere for Microprocessors. JDN

To: Scumbria who wrote (74591)	2/26/1999 8:28:00 PM
From: nihil	Read Replies (1) \| Respond to of 186894

Cross-subsidization Absurdo! The source of the money to destroy competition doesn't matter. If Intel is a monopolist (and this is far from clear if the PC retail market is a market for chips)_, then it cannot preserve or attempt to preserve its monopoly by destroying competition how ever it is financed. There is no way that the entire x86 mpu is a single market. Since AMD has ceded servers to Intel by refusing to compete, the market share there (95%) is irrelevant in PC chip market. Since AMD claims to have big market share there and is selling at a loss, Intel's best defense is to charge AMD with attempting to monopolize the low end market by selling under cost. It is a perfectly good irrefutable defense. AMD has attempted to destroy Intel in that market and has promised to undersell Intel regardless of costs and profits. Sounds like a slam buck for Intel to me! (Market definition is all the game in antitrust).