AMD strictly moderated (AMD)

[CombJelly]

"I think Intel (and it's stockholders) can afford a price war less than AMD, now that they have no monopoly market segment. "

Yep. OTOH, AMD plans to more than double their capacity by the end of the year. And that is without Chartered. With Chartered churning out even 90nm Semprons...

AMD is looking to take out the 80 percent of Intel's production that will be P4s. Or make a strong bid for it.

Given that AMD is apparently planning on converting Fab30 to 65nm (or possibly 45nm) and build a third fab, they are planning on having a lot of capacity for a while.