Sgolds, Re: Then it is no longer Intel. It is AMD with higher volume.
No one is suggesting that Intel jettison their other businesses and their marketing budget to starve out AMD. Right now, Intel has >$1B profits every quarter, while AMD has tens of $millions in losses. Intel could starve them out by lowering prices to the break-even point. They don't have to undercut AMD.
Also, regarding your comment about higher volumes - sorry, but it will never happen. AMD does not have the manufacturing to get >50% of the CPU market, even with all of IBM Micro's resources helping them out.