Replies to post #2993 on Advanced Micro Devices Inc (AMD)

[borusa]

J3, That needed to be said. A look at yahoo>profile>dell will show a book value that is miniscule in any reasonable comparison. What dell does works fine for them. Most of their value is in stuff like "good will". They have a great business model, and are probably the "golden SD shop". And, attached to Intel's largest teat.

[jhalada]

Paul,

I, for one, have never been real excited about the possibility of Dell for AMD. They'd have to be a lot bigger to be anything more than solely Dell's slave, and the margins would likely be less than what the rest of the market will provide.

Margins, at least for AMD are much more associated with the volume and ability to sell out its production than with ASP being $5 higher or lower. Dell would provide AMD with steady demand, increased volume, and therefore _higher_ margins.

Joe