Is Intel Selling Bay Trail Chips Below Cost?
edxwelch writes "An analyst at Bernstein Research has found that Intel is selling their tablet Bay Trail chips to OEMs below cost, concluding that after end rebates, Intel's tablet revenues are likely to be "close to zero," while profits will be negative. Intel has responded that the 'special costs' Intel is incurring are not pushing down gross margin. Intel needs to offer the subsidies to OEMs building $199-$299 devices to bring the bill of materials down and make them competive with cheaper chips from the likes of MediaTek and Rockchip."
The actual press release is clear "Slashdot Media was acquired to provide content and services that are important to technology professionals in their everyday work lives and to leverage that reach into the global technology community benefiting user engagement on the Dice.com site. The expected benefits have started to be realized at Dice.com. However, advertising revenue has declined over the past year and there is no improvement expected in the future financial performance of Slashdot Media's underlying advertising business. Therefore, $7.2 million of intangible assets and $6.3 million of goodwill related to Slashdot Media were reduced to zero."
Look at the Amazon double-helix comments. Mass downmods everywhere.
The cow says "Moo." The dog says "Woof." The Timothy says "Thanks, valued customer. We appreciate your input."
Only beta will reveal.