AMD strictly moderated (AMD)

[wbmw]

Re: "We estimate that AMD’s MPU ASP was just over $90 in the fourth quarter, and this compares with our estimate that Intel’s ASP was just under $150. We believe that approximately 1/3 of this difference is explained by legacy issues that have caused AMD’s ASP for the same SKU to be 10%-15% lower than Intel’s. However, we believe that 2/3 of the difference is explained by mix. Provided AMD executes, its long-term product mix should look a lot more like Intel’s, which suggests that long-term ASPs between the two companies should converge over time."

I agree with this. Intel's Celeron mix is usually 30-35% of sales, and I said to assume more like 50% for AMD. Then Mas says it's more like 85%. Excuse me, but it's one thing to comment on a greater value mix, but it's another thing to take a complete inversion.