AMD fair pricing?

[Platinum321]

Have you guys notice AMD's earnings this quarter? Do you still feel that AMD should still try to sell their processor low? Anyhow, as I have mentioned in the past, AMD will not be able to sell their chips low for long if they want to start making profits. Sadly though, their price is one of the main reasons their fans put them on a pedestal. Does not look too good for AMD right now.

 

[Rainsford]

Everyone is loosing money this quarter, I don't think AMD's pricing is the main factor. Their chips have always been cheap. They made profits with cheap chips up until recently, there is no reason to stop now. And as you said, that's their main advtange over Intel. No matter what Intel may have out, AMD will still have the advantage to the person who wants the most for their limited budget.

 

[ceZium]

I absolutely agree, AMD's pricing gives them a great advantage over Intel's much pricier parts. AMD has made alot of money with their current scheme, so why stop.

 

[Duvie]

I don't know...I would give eom retailers better deals which I am sure they already do....

But I think the 1600+ at 66 bucks is crazy....I think alot of those chips should still be near 100 and they would sell...

 

[DimZiE]

i'll stick w/ AMD....maybe til intel decides to cut off their prices..
or maybe i'll stick w/ AMD forever til intel gives me a good reason not to.

🙂

 

[alexruiz]

Well, as an AMD fan I am sad for those earnings. I think their objective is to keep or increase the marketshare. By sales volume they keep going higher, but if the product is cheaper the total revenue may be lower.... as it was the case. 🙁

 

[dew042]

welll... as an amd stockholder i am saddened by those earnings too....

atleast intel made money this quarter.

hammer and barton better be good.

dew.

 

[imgod2u]

AMD processor have not ALWAYS been cheap. Remember the 1 GHz Athlons? $800. They made quite a bit of money simply because 1. it was still cheaper than the 1 GHz P3 and 2. it performed better. Then came the big technology boom. Everyone made money. Even rediculous internet companies who gave away 400% of their total stock. Of course AMD would make a profit, who didn't? Now that the technology market is in a slump and it's no surprise they're loosing money. Intel's projections aren't as good as they think. The difference is Intel's marketing strategies allow them to actually turn a profit. While I don't think AMD's pricing is the sole reason why they're not making that much money, I do think it is a big part of it. The budget market is especially bad in a technology downslump. The business market and the enthusiaste market are the two where price isn't too big a factor. I'm sure there are plenty of rabid AMD fanboys out there who wouldn't mind paying $400 for the latest AMD processor. And those aren't neccessarily as effected by a market downslump (i.e. some teenage technology buff will still upgrade his comp).

 

[Rainsford]

AMD is not an "internet company". They have a physical product that they sell for money and have been successful in doing so for more than 30 years. I personally don't see why everyone is getting all worked up over this, the entire industry is in a slump. Once things perk back up AMD and Intel will be making money again, just like the did before. And I personally am glad AMD has found a way to sell a good, cheaper product. If they are able to keep it up (which they have been for years up to this point, not just since the tech boom), I'll continue to buy their stuff.