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

To: Scumbria who wrote (58557)	5/18/1999 1:23:00 AM
From: Process Boy	Read Replies (2) \| Respond to of 1571697

Scumbria, you are soooo far off it is laughable. That's all I can say. PB

To: Scumbria who wrote (58557)	5/18/1999 1:27:00 AM
From: Gary Ng	Read Replies (1) \| Respond to of 1571697

Scumbria, Re: The average CPU cost to Intel is about $140. How do you get to this number ? Gary

To: Scumbria who wrote (58557)	5/18/1999 1:46:00 AM
From: Paul Engel	Respond to of 1571697

SCUMbria - Re: "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." Are you suggesting that Intel change the name of the Celeron to K6-2 ? Paul

To: Scumbria who wrote (58557)	5/18/1999 2:32:00 AM
From: Tenchusatsu	Read Replies (1) \| Respond to of 1571697

<OK, Let's use your numbers. The average CPU cost to Intel is about $140.> Brilliant, Scumbria. Have you forgotten that: 1) Mendocino Celeron, especially in socket form, costs less to manufacture than Pentium II/III? No SECC cartridge, no slot, no large off-chip L2 cache, no desperate need to climb the speed curve (less validation necessary), no need to validate on the 100 MHz bus. Throw in high volumes, and the low price of Celeron is more than justified. 2) Xeon costs a lot more to manufacture than Pentium II/III? Huge SECC cartridge, Slot 2 electricals, custom full-speed L2 cache, 4-way multiprocessor validation, chipset support, reference platform design, OEM and OS support, and low volumes all contribute to the high Xeon margins. Tenchusatsu