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

To: Yougang Xiao who wrote (53705)	3/30/1999 7:13:00 PM
From: Jim McMannis	Read Replies (2) \| Respond to of 1572446

K6-2-400 down to $106 on pricewatch. WOW! Jim

To: Yougang Xiao who wrote (53705)	3/30/1999 7:52:00 PM
From: Tenchusatsu	Read Replies (1) \| Respond to of 1572446

<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.> They are changing? My opinion is that nothing has changed yet. Why didn't Jerry Sanders make manufacturing his number one priority back when AMD had K6 production problems? What steps is he taking to make sure that production problems like those which plague the K6-2 right now don't happen again with AMD's big jump to copper interconnects? And that's just the tip of the iceburg ... Tenchusatsu

To: Yougang Xiao who wrote (53705)	3/30/1999 11:17:00 PM
From: RDM	Read Replies (1) \| Respond to of 1572446

<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.> You are quite right AMD original claim of 25% cheaper was only the initial starting point for the K6 vs the Pentium II. We have not seen evidence that there has been any 25% objective or reality for many months. Ever since the K6 over-ran the majority of the retail market in January the pricing has been driving by supply and the Celeron pricing. Currently the K6-2-400 is $105 at the retail level and the supply is large. It seems that this could be the result of a flood of K6-2 parts hitting the market at the 400 Mhz speed. Perhaps there was some over-ordering by OEMS. The only conclusion I draw from this with certainty is that the supply is good and AMD must be able to make plenty. This is confirmation of the speed path problems being fixed. How do we know that AMD is producing anything but 400 and 450 Mhz speeds in volume. Maybe the speeds are good. The K6-2 is a hot potatoe right now. AMD clearly has a bunch of of K6-III parts in the pipeline and the 400 Mhz K6-2 will be under further pricing pressure as the price of the K6-2 450 comes down from it getting in greater supply. The K6-2 high end has frequently been at $140 the part was available in significant volume. It looks like the 450 Mhz K6-2 is now ramping up and the 400 Mhz parts are being flushed out before it is too late.