Intel Atom costs just $6, serves as cash cow?
updated 03:30 pm EDT, Fri March 28, 2008
Intel Atom Price Question
Intel's already inexpensive Atom processor could cost just a fraction of its actual price to build, information sent to TG Daily reveals. While official pricing leaked online suggested that the price to computer makers would cost a still-low $29 for a basic 1.6GHz model, the actual cost to make and ship a given processor is said by a purportedly reliable source to be just $6, or a fifth of the actual price. The cost is said to exclude the actual mainboard chipset and doesn't include higher-end models, such as the 1.87GHz dual-core version.
The difference between the price for Intel and the retail price for end users is also reported to be high enough that the semiconductor company would make as much as ten times its manufacturing costs on every chip sold. Intel has not commented on the claims, though the cost difference may suggest higher prices than necessary for the devices which will use Atom, which will include the Eee PC 900 and Apple's rumored ultra-mobile devices.
Not including...
03/28, 03:41pm reply
reasearch and development costs, of course.
greenG4
Grizzled Veteran
Joined: Aug 2002
$12.37
03/28, 03:55pm reply
Is what the basic chemistry of the author of this article is worth, proving the they are vastly overpaid.
ClevelandAdv
Fresh-Faced Recruit
Joined: Jul 2004
Anti-profit?
03/28, 03:59pm reply
Who is hurt by Intel becoming more efficient with their manufacturing. Intel is a public company. They can decide their pricing, how to profit and where to use their profits for their execs, shareholders, customers, R&D, all to everyone's benefit who is either invested in them or uses their products.
JackWebb
Fresh-Faced Recruit
Joined: Aug 2007
wow
03/28, 05:08pm reply
That's an incredible cost/performance ratio. For 600$ they could put 1000 processors into a machine. That's a level of processing power that hasn't been seen yet at a fraction of the cost. Holy c***!
H O L Y C R A P !!!
zaghahzag
Dedicated MacNNer
Joined: Aug 2006
oops
03/28, 05:09pm reply
I meant for 6000$ -> 1000 processors.
zaghahzag
Dedicated MacNNer
Joined: Aug 2006
re: oops
03/31, 09:52am reply
I think you meant $6000 -> 1000 processors. :p
koolkid1976
Fresh-Faced Recruit
Joined: May 2003