Who was surprised by Intels warning?

[Shuxclams]

Helloooooo............. Problems everywhere with procesess, chipsets, RAMBUST etc.. and the analysts are just figuring this out? LMAO!








SHUX

 

[shiner]

Not me....ever since I bought my T-Bird and saw how well it performed I knew Intel was in serious trouble.

 

[Batti]

Not surprised, but I sure don't like all the damage it's doing to other companies...

 

[ArkAoss]

warning?? no one noted the obvious screams of impending death back in august??

 

[Wingznut]

I'm not sure if you guys have noticed, but the downturn is not isolated to Intel. Many high tech companies are in the same position.

 

[Adul]

I waiting for the stocks to get real cheap.

 

[maleficent]

<< I waiting for the stocks to get real cheap. >>



They will.

No, I wasn't surprised about the warning. It should have come earlier.

 

[ToBeMe]

Look, Intel is a HUGE and diverse company.......the economy is tanking in the tech. sector beyond what any anaylists suspected, and it will likely get worse before it gets better! AMD did put some pressure on Intel........but AMD is in NO way responsible for this......AMD still owns a very small marketshare and to say this was a result of their &quot;pressure&quot; on Intel is a huge stretch. One guy above hit the nail on the head.....&quot;what it's doing to other companies&quot;......and the tech. sector as a whole......I hate to say it, but don't be real suprised to see the same news, on a smaller scale perhaps, from AMD if things do not change soon (and there's no indication they will)........it just stands to reason, a company can not continue producing the chips if the market isn't buying........

 

[Hamburgerpimp]

The Industry has come to a stand still, if you haven't noticed. Intel is one of the big five Industry leaders. Hence, lower than expected earnings. Who would have thought back two years ago that people would not necessarily do EVERYTHING on the Internet. Sh1t, nobody. So, billions of $$ get pumped into the Internet and Computer Industry. And 99% of us still don't buy our house, car or groceries on the Internet.

The Mhz race with Intel and AMD did not help. Nor, the Vcard race. What the hell difference is 500Mhz and 1Ghz to the average user?? Absolutely nothing.

It's gonna get worse folks.

 

[Windogg]

All semiconductor companies are getting hit hard. Today's management meeting was way ugly. Sales are way off and we are expecting a tough time through Q3. My budget went out the window and all &quot;non emergency&quot; purchases have been put off until the end of Q2. Q3 will be wait and see.

 

[dawheat]

and here comes Cisco- up to 8,000 people to be layed off. Recession is suck.

 

[Hamburgerpimp]

&quot;Hiring Freeze&quot;, they like to say! &quot;Layoff&quot; is such an ugly word that instills fear in investors!

 

[SuperTool]

I am just interested in seeing what kind of &quot;Attrition&quot; will take to cut 5,000 jobs.

 

[Wingznut]

5,000 jobs is only about 5.9% of Intel's workforce. A 5.9% turnover in a nine month span is quite typical.

Intel just won't be in a rush to hire more people.

 

[charrison]

Tobeme,

AMD is currently well ahead of schedule on getting there 30% market share.

 

[Wingznut]

What does &quot;currently well ahead of schedule on getting&quot; mean?

What is their timetable to get 30%?

As per MSN, &quot;With more than 80% of the PC microprocessor market, Intel is definitely inside.&quot;

 

[NutBucket]

Nobody mention tech stocks gettin cheap please. I was almost @ a 200% return on my Intel investment, and my buy.com stock went from $27 (where I bought the day after IPO) down to a cool $0.31. Now they're laying off ppl to. This spells nothing but trouble. Guess I'll have to do my part to sell more Intel chips.

Note: Already talked two ppl out of Athlons.

 

[charrison]

nutbucket,

Did you convince them to buy a more expensive slower cpu?

 

[Midnight Rambler]

<< Helloooooo............. Problems everywhere with procesess, chipsets, RAMBUST etc.. and the analysts are just figuring this out? LMAO! >>

Reality check - that stuff had ZERO effect on what these earnings warnings are about. The sum of all the crap you are gloating about cost Intel _1_ cent per share, and was paid for in full in the quarter ending October 2000. As an analyst, you'd flunk your basic research requirements. What today's earnings warning was about is that Intel is seeing WORLDWIDE weakness in areas that they had not planned on, specifically - servers, communications chips and networking gear, and FLASH memory. With respect to their CPU business, their estimate for the quarter remains in tact there ... the industry in its ENTIRITY (which means AMD as well) is going to be down 15-20% min. Thus, Intel was not changing its forecast in that business segment.

<< Look, Intel is a HUGE and diverse company.......the economy is tanking in the tech. sector beyond what any anaylists suspected, and it will likely get worse before it gets better! AMD did put some pressure on Intel........but AMD is in NO way responsible for this......AMD still owns a very small marketshare and to say this was a result of their &quot;pressure&quot; on Intel is a huge stretch. One guy above hit the nail on the head.....&quot;what it's doing to other companies&quot;......and the tech. sector as a whole......I hate to say it, but don't be real suprised to see the same news, on a smaller scale perhaps, from AMD if things do not change soon (and there's no indication they will)........it just stands to reason, a company can not continue producing the chips if the market isn't buying........ >>

Well, you've got it pretty correct. As for AMD gaining on Intel, the marketshare is now basically 17-18% AMD vs. Intel at 82-83% (ignoring all other competitors, as their volumes to date are miniscule in comparison to either AMD or Intel). So, AMD probably gained 5-7%, partly on their execution, and partly on Intel's mis-execution. By far the biggest factor behind AMD's gain was their extremely fortunate market timing with respect to adding fab capacity. While every other semi company was running at full fab capacity, AMD brought on their new capacity. Some other semi companies (esp. in communications) were also fortunate enough to bring on capacity during this time frame when the rest of the industry was in need of more capacity, and they also benefited. That increased capacity need eventually was built up/added, but by the time capacity finally caught up to demand somewhere early last fall, the market started softening due mainly to rising interest rates. From there, it's been all downhill.

As for AMD also warning, there is no doubt they will. Just like every other semi company - TI, Motorola, LSI, Thomson, TSMC, UMC, Samsung, Infineon, Micron, Hyundai, Applied Micro, Broadcom, PMCSierra, etc., ... you name the company, every single chip company is affected, period!

As well, AMD and Intel both warned lowered earnings in the most revent quarter ended in January. Intel ended up beating their lowered earnings by 1 cent, while AMD missed their already lowered projections by several cents.

And AMD has a big achilles heel that most trollers fail to see - about 38-40% of their business is in FLASH. While that was a big plus for them for a while, one only needs to take a look at the entire memory market to find an even worse economic scenario as compared to the CPU market.

Now somebody tell me again that AMD will not be warning of bad earnings. As a shareholder, I certainly expect them too, it's called due dilligence.



<< AMD is currently well ahead of schedule on getting there 30% market share. >>

Of FLASH memory ... Not even close in CPU's. And coming out of this recession, Intel is gonna spank AMD big time in the CPU market segments where it really counts. They are willing to cede a few % more of the desktop in exchange for a big chunk of server market share (and not the low end 2-4 chip servers, but the real meat like that 32-chip unit Compaq is bringing out ), and esp. for that upcoming, all-important portable devices market which is still in its infancy compared to the PC (if you even only believe a portion of the hype that is being made about users moving away from the desktop and to these new devices, it's going to be a huge new market segment) - in this new market AMD has nothing, whereas Intel, with its StrongARM, DSPs, and other chips, is shrewdly investing in this for the future.

 

[SuperTool]

There is nothing particulary exciting from Intel to get the customer excited about upgrades. Most glaringly obvious is the never-ending delays on the Itanic. I think they are already developing third generation EPIC chip, and the first one still hasn't been released. They really blew it by not having a 64 bit offering when this whole internet server bonanza was going on.

 

[ToBeMe]

Charrison................you must be naive........I said AMD was soing fine but they in NO way had anything to do with this! If you actually believe AMD won't also be suffering......you've got a LOT to learn! They aren't near 30% right now.......but really, I don't care about that! Stop being a &quot;Zealot' and see this for what it really is......it's going to hurt everyone!.....Kids...........:disgust: