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AMD, Intel price war takes toll on whole chip market

post #1 of 7
Thread Starter 
I say woohoo...Keep the prices down

Quote:
ALTHOUGH THE WORLDWIDE semiconductor market grew by 19 per cent in 2006, two major players are being accused of dragging down average selling prices (ASPs).
Semi analysts Future Horizons said the growth in the market this year was driven by a global economy which got stronger and stronger.

But, said principal analyst Malcolm Penn: "ASPs steadfastly refused to recover, not helped by a ruthless and ongoing AMD-Intel microprocessor price war."

Penn said that fab capacity,with more and more 12-inch (300 millimetre) wafers continues to be produced.

He said 12-inch wafers now account for 30 per cent of total production and there's a "relentless" push to 65 nanometre and 90 nanometre process technology. Utilisation rates are hovering around the 85 to 90 per cent level, said Penn.
More here :http://www.theinquirer.net/default.aspx?article=35947
post #2 of 7
SAME here price down!!
    
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post #3 of 7
I'm not 100% on what that means...but I think it is saying "Slow down guys, we can't keep making tonnes of chips for you if you switch so fast....we have to many damn leftover chips, and also your prices are hurting us cause our contracts with you guys suck" lol
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post #4 of 7
Hey look over there! It's K8L!
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post #5 of 7
But, said principal analyst Malcolm Penn: "ASPs steadfastly refused to recover, not helped by a ruthless and ongoing AMD-Intel microprocessor price war."

WHAT! ASPs refuse to recover? Who the hell wants the selling price to go back up, is this guy mentally challenged or something?
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post #6 of 7
Thread Starter 
Well lets just hope it means cheaper prices for us consumers .
post #7 of 7
its just that 'updating' an entire fab to accomodate for newer processes in wafer production is costly, and keeping up to date is tough for smaller or less monetarily sound companies is tough. (or even in lieu of updating a fab, just building a whole new one)
    
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