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Saturday, July 28, 2007 1:48:46 PM
You seem to have a schitzophrenic opinion of Intel's pricing. Either they are too low and hurting AMD, or too high and hurting the consumer. As far as the consumer is concerned, Intel is pricing dual core fairly, since they are now ramping quad core and can put these parts at the high end of their pricing structure. Dual cores naturally waterfall down, as Intel has done always in the past. The consumer is benefitting from Intel's deep technology pipeline and the ability to deliver quad core before AMD.
Legally, the EU implication is whether these prices are forcing an efficient competitor to sell below cost. First, $266 is nowhere near the cost to manufacture these products. Any dual core CPU sold at $266 is probably close to an order of magnitude from its cost. So your argument is that Intel's 80-90% margin CPUs are illegally being underpriced to drive AMD out of business? I don't think so. If AMD is defined as an "efficient competitor" then they should be able to compete with Intel's 80-90% gross margin products. If not, then it simply means that the competitor's brown bananas as not fit to compete with the more efficient market leader. And the EU will have no case of illegal monopoly abuse to bring against them.
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