anyway, here is my line of reasoning regarding intc and grove's decision to "give up" the fight:
andy saw that the earnings for this quarter are probably worse than they had hoped. He then decided to retire. Knowing that this retirement and current and future earnings shortfall would shock the market and cause selling of the stock, he made sure of this gargantuan stock buyback which is meant to keep the stock price up as much as possible.
andy is a concentration camp survivor. He would not quit if he thought that he had a chance of winning further battles.
for example, i was prepared to buy a second pentium two for my home, but with tci offering cable access to the internet at much faster speeds, i am hesitating that purchase.
secondly, will cpq be using digital equipments' chips or intc when the merger is compltete? I believe that cpq will use much less intc chips in the future.
i believe that the demand for intc chips will be lessened and therefore the earnings will fall into the future. Andy grove also realized this demand fall and that is why he resigned.
merced will help next but the average consumer does not need the merced or want to merced.
keep in mind that i do not profess to know what will happen but only to what common sense tells me will happen and is happening.
To: SER (5146 ) From: bob Sunday, Mar 29 1998 2:21AM EST Reply # of 5148
Before going to Europe on business, a man drove his Rolls-Royce to a downtown New York City bank and went in to ask for an immediate loan of $5,000.
The loan officer, taken aback, requested collateral and so the man said, "Well then, here are the keys to my Rolls-Royce."
The loan officer promptly had the car driven into the bank's
underground parking for safe keeping, and gave him $5,000.
Two weeks later, the man walked through the bank's doors, and asked to settle up his loan and get his car back. "That will be $5,000 in principal, and $15.40 in interest", the loan officer said. The man wrote out a check and started to walk away.
"Wait sir", the loan officer said, "while you were gone, I found out you are a millionaire. Why in the world would you need to borrow $5,000?"
The man smiled. "Where else could I park my Rolls-Royce in Manhattan for two weeks and pay only $15.40?