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


To: Process Boy who wrote (58553)5/18/1999 1:21:00 AM
From: Scumbria  Read Replies (4) | Respond to of 1571683
 
PB,

I believe Intel made 59% gross margins on what MDR estimates was a $227 ASP. Big difference in the calculation you are speculating on.

OK, Let's use your numbers. The average CPU cost to Intel is about $140.

Celeron 400 sells for $90 on pricewatch. Intel loses about $50per sale, not including the distributor markup. Throw in another $10 for the markup and Intel loses $60 per sale. Throw in an OEM discount and Intel is losing $70 per Celeron.

Scumbria