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

To: Tenchusatsu who wrote (53701)	3/30/1999 6:40:00 PM
From: Scumbria	Read Replies (2) \| Respond to of 1572506

Ten, AMD is certainly moving forward technology-wise, but in terms of profits, they have yet to show me that they are a long-term money-making investment. If they had demonstrated their ability to make money long term, the stock would be trading at $100. The low price of the stock represents the fact that ownership of AMD is a risk. The low price also offers opportunity for those who are willing to take a risk. Some engineers like risk and work for startups. Other engineers are risk averse and work for Intel. It is quite clear which category we both come under. Scumbria

To: Tenchusatsu who wrote (53701)	3/30/1999 6:51:00 PM
From: Yougang Xiao	Read Replies (3) \| Respond to of 1572506

Tenchusatsu: <<Instead of staying closer to Intel's own pricing tructure, AMD went under the belt and made the now-defunct "25% discount" promise.>> The truth of the matter is that AMD could not staying closer to Intel's own pricing structure due to your know who's brand name in the first place. In retrospect, AMD did the right thing to use low price to open doors for them. Untill AMD achieves enough mindshare, and product differentiations, AMD is Lexus to Intel's Mercedes. We do know that AMD's lack of profitability is mainly due to: 1. Its' own manufacturing issues. 2. Intel's agrresive price cuts. Intel's recent introduction of Celeron 433 without further prices cut on existing Celeron line offers much encouragements for AMD and Intel alike. The message is loud and clear -- price war is bad for all chip vendors. We can also found AMD's new found emphasis on manufacturing as contain in Jerry's letter -- the lauphable P3 as you may lable it --the message here from the P3 is that they consider the manufacturing to be their Number 1 priority, right before the arrival of K7. This is a very good sign for AMD! 2 years ago, wnen K6 was introed, all attentioned were focused on OEM wins, compatability issues and almost no one deemed production be to the matter of concern. I personally like AMD to point out manufacturing to be their public enemy Number 1, right NOW. So the big picture here is that the two major forces that killed AMD's profitability in the last two years are changing to AMD's favor.