Semis With Highest, Lowest Production To Sales Ratio [View article]
Trent:
Big error here. The production effect and the impact on gross margin applies only to companies that own their fab. Fabless companies do not see Gross margin move as 2000 wafers from TSMC costs the same as 1500.
You need to remove all fabless revenue to make this a meaningful study.
So Again, Why is Intel Cutting Prices Without Serious Competition From AMD? Beats Us [View article]
Got it. FYI Intel is (was?) in the NPU business and probably has the greatest market share. The revenue in this area is a fraction of a fraction of a fraction of what he CPUs generate.
The falling profitability is due to the loss of the high margin server space. While they didn't make up a large portion of revenue, they contribute a great deal to profits. AMD kicked Intel's ass in this area in the past though benchmarks on recent products show a reversal of this trend.
It will be interesting to see if Intel can restore the high margins in this area or if a price war will permanantly change what used to be a sweet high margin business.
You also need to watch out when comparing the two as AMD has a significant fabless component, where Intel runs with their fabs almost exclusively. Depending on how the accounting is done, and how depreciation is factored, this can make comparing gross margins an apples to oranges affair.
Intel's New Core Processors Will Put the Hurt on AMD (AMD, INTC) [View article]
Update to above post.... check out this article at ZDNet.
<blockquote>It's noteworthy that the C2D E6600 2.4 GHz dual core Conroe which has a list price of $316 is able to beat the fastest AMD AM2-based FX-62 processor which costs around $1000. There have been rumors of large price drops on AMD processors but it will be interesting to see what AMD's response will be.</blockquote>
Semis With Highest, Lowest Production To Sales Ratio [View article]
Big error here. The production effect and the impact on gross margin applies only to companies that own their fab. Fabless companies do not see Gross margin move as 2000 wafers from TSMC costs the same as 1500.
You need to remove all fabless revenue to make this a meaningful study.
So Again, Why is Intel Cutting Prices Without Serious Competition From AMD? Beats Us [View article]
So Again, Why is Intel Cutting Prices Without Serious Competition From AMD? Beats Us [View article]
God forbid Blog spam crossing over into the investment domain.
The End of Telecom As We Know It and I Feel Fine [View article]
Intel & AMD: Where the Chips Fall [View article]
The falling profitability is due to the loss of the high margin server space. While they didn't make up a large portion of revenue, they contribute a great deal to profits. AMD kicked Intel's ass in this area in the past though benchmarks on recent products show a reversal of this trend.
It will be interesting to see if Intel can restore the high margins in this area or if a price war will permanantly change what used to be a sweet high margin business.
You also need to watch out when comparing the two as AMD has a significant fabless component, where Intel runs with their fabs almost exclusively. Depending on how the accounting is done, and how depreciation is factored, this can make comparing gross margins an apples to oranges affair.
Intel's New Core Processors Will Put the Hurt on AMD (AMD, INTC) [View article]
<blockquote>It's noteworthy that the C2D E6600 2.4 GHz dual core Conroe which has a list price of $316 is able to beat the fastest AMD AM2-based FX-62 processor which costs around $1000. There have been rumors of large price drops on AMD processors but it will be interesting to see what AMD's response will be.</blockquote>
Yikes.