Intel Takes Ax to Processor Prices
Intel Corp. dramatically slashed the prices of its Pentium 4 microprocessors over the weekend, complementing the cuts with discounts in its mobile and server lineups.Intel Corp. dramatically slashed the prices of its Pentium 4 microprocessors over the weekend, complementing the cuts with discounts in its mobile and server lineups. Historically Intel saves its deepest discounts for May and August, to stimulate demand during the slow summer months and as an incentive to spur back-to-school sales. As of press time, rival AMD had left its prices unchanged. Intel cut the prices on select desktop Pentium 4 models almost in half, with most of discounts ranging between 20 and 40 percent. Intel also simplified its product pricing; Pentium 4 microprocessors available with either a 533-MHz or 400-MHz front-side bus are now priced identically, as are models with either 256 Kbytes or 512 Kbytes of level-2 cache.
Intel reduced the price of its 2.40-GHz desktop Pentium 4 by 29 percent, to $400. The largest discount was saved for the 2.26-GHz part, which the company hacked 43 percent to $241. Intels 2-GHz desktop Pentium 4 now costs $193, down 32 percent, while the 1.9-, 1.8-, and 1.7-GHz Pentium 4s now costs $173, $163, and $143, representing discounts of 23 percent, 16 percent, and 12 percent, respectively.