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

To: Paul Engel who wrote (80964)	5/15/1999 8:18:00 PM
From: Doug M.	Read Replies (2) \| Respond to of 186894

Paul, I might as well ask you a strategic type of question - I'm in that type of mood! Intel is gaining back market share in a big way from AMD. I believe AMD is in big trouble due to a CEO ego trip that dates back to 1968. Jerry wants to upstage Intel at all costs. Unfortunately, the costs sacrifice the good people at AMD. I've met Atiq a couple of months ago and I like him and I like what he's trying to do w/AMD. He knows his back is against the wall and he's willing to admit it. He's not in an enviable position going against the Intel juggernaut. I am very long Intel and I want to see the company achieve the multiple I believe it deserves. Nothing crazy, but I'd like to see INTC approach the levels of MSFT and CSCO. I believe Intel definitely deserves a higher P/E than an average semi company. The main question is what happens with AMD? Intel isn't going to let them gain a significant proportion of the CPU market. If AMD can't make the K6III in significant quantities, how a are they going to even entertain the thought of making K7's in mass volume to compete w/Coppermine/Merced/McKinley? At the IBM analyst meeting Gerstner stated that he doesn't want to fight any more old wars; therefore, he has no interest in buying AMD! He's literally better off using that cash to buy back his own stock. So I believe the "buyoyt premium" built into AMD should diminish. Anyway, I gotta go. What are your thoughts on these issues? Regards, Doug