chipguy,
6523/5760 = 1.132 = +13.2%
You are right.
You're right. Intel could have priced its MPUs to generate
ASPs of $200, $500, or $1000+.
In turn its units sales might *fallen* 10%, 50%, or 90%
which would have caused fab under utilization charges to
skyrocket.
AMD couldn't have taken any of those sales, since they were capacity limited throughout most of the quarter. The below par pricing of Intel CPUs had the sole result of taking billions of dollars of profit out of the CPU market.
There was a period of time when AMD did not sell out its capacity - late Q1 and Q2. AMD was signaling to Intel that AMD did not want to go into a price war, and for some time, AMD held prices at more "normal" levels. But Intel did not want to hear any of that, and continued to slash prices.
The x86 MPU market has too much capacity
right now largely because of AMD's megalomaniacal
expansionist plans.
Intel has capacity for >100% of total CPU market, AMD has capacity for 25% of the market. Tell me who has too much capacity.
even setting aside the gargantuan blunder of buying ATI.
On that, I tend to agree. In particular, buying ATI for the amount that AMD paid. It would have been a good eal at 1/2 of the price...
AMD rolled the dice on a bet-the-company strategy and
in Q4 it came up snake eyes. You and mas go cry on
each shoulders over your folie a deux fantasy world that
isn't.
Mas and I? As far as I know, we are both out of the CPU stocks. It is AMD and Intel shareholders who should be crying on each others shoulders.
And FYI, I flirted with Intel too in 2006. I had some LEAPS, but I didn't see the light at the end of the tunnel (and stock fluctuation offered me to make a quick profit) so I dumped the LEAPs.
Joe
