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Date:      Sun, 22 Apr 2001 14:38:28 -0400
From:      "~/.signature" <hawk@fac13.ds.psu.edu>
To:        "Charles Burns" <burnscharlesn@hotmail.com>, freebsd-questions@FreeBSD.ORG
Subject:   Re: the AMD factor in FreeBSD 
Message-ID:  <200104221838.f3MIcSn18714@fac13.ds.psu.edu>
In-Reply-To: Your message of "Fri, 20 Apr 2001 00:10:14 PDT." <F936u1Wy9eabpAprqFp000049ce@hotmail.com> 

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charles complained,


> The Celeron 2 somewhat irritates me because it shows Intel's gross profit 
> margins. It is the exact same core as the P3, so the P3 can clearly be sold 
> for much cheaper. Good thing for AMD to shave their margins down.
> At least AMD is decent enough to make the Duron a separate core.

Sort of, but not really.  Over all the processors they sell, they
need to cover their average cost, which includs the fixed & sunk 
costs of development, plus the marginal cost of production. This scheme
lets them share the huge sunk cost between the PIII and the celery,
actually lowering the average cost for each.  They just couldn't 
cover those costs if they sold PIII at vegetable prices . . .

hawk


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