Key Metrics and Supply Alert
By Staff -- Purchasing, 3/21/2002
- Intel cut tags for Celeron processors. Intel's price for the 1.4 GHz chip fell 18% from $103 to $84 and the 1.2 GHz MPU drop 11 from $89 to $79. Intel also lowered the price for the 1.1 GHz Celeron 10% from $79 to $69 and the 1 GHz chip 7% from $69 to $64. Look for Intel to cut tags for Pentium 4 processors within the next two months.
- Look for the DRAM market to do better in 2002 than originally forecast. An increase in spot and contract prices and an expected modest increase in demand means DRAM revenue will increase 55% to $17.3 billion, according to iSuppli, a market intelligence provider. iSuppli and other researchers originally forecast that DRAM revenue would be flat in 2002.
- Intel began shipping its new Pentium 4 microprocessors for laptops. The Pentium 4-M is available at 1.7 GHz and 1.6 GHz and runs at 1.3 volts. In 1,000 unit quantities, the chip costs $508 for the 1.7 GHz version and $401 for the 1.6 GHz device. Intel is also shipping the 845MP chipset to run with mobile MPUs. The chipset, which supports double data rate DRAMS, costs $43.
- Semiconductor sales got off to a bad start in January. Chip revenue fell 1.7% to $10.01 billion from $10.18 billion in December, according to the Semiconductor Industry Association (SIA). The SIA notes that chip sales are usually less in January than December. The association forecasts double-digit growth in the second half of the year.
- Taiwan Semiconductor, Philips and STMicroelectronics are working together to develop .09-micron process technology. The three companies plan to produce chips from the leading-edge technology by the end of the year. The companies will use the technology to make system on-a-chip semiconductors that will be used in a variety of consumer electronics and telecommunications equipment.
- Get the latest on the IT buy. PURCHASING's newest book Best Practices in IT Procurement provides tips on buying computers and software more effectively. For your copy of the 142-page volume, send $44.95 plus $2.50 for shipping and handling to PURCHASING Magazine, PO Box 497, New Town branch, Boston, MA 02456. For credit card orders, go to www.purchasing.com or call 617-630-3799.
- Expect the optical IC market to recover. Sales of optical ICs will be flat at about $1 billion in 2002, but demand will rise next year. The market will grow steadily to $1.8 billion by 2006, according to market researcher In-Stat/MDR. Growth will be driven by the Internet, private networks and business-to-business e-commerce which will all require more networking equipment which use optical chips.
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