Intel Slashes Processor Prices - 2

To drum up business and make way for new chips, the company cuts prices on many of its Pentium 4 chips by as much as one-third; other desktop, mobile and server processors also decrease in price.

Intel Corp. is slashing the prices on many of its Pentium 4 chips by as much as one-third, as well as other desktop, mobile and server processors.

Intel reduces prices on its processors from time to time in hopes of generating business or making way for new chips.

The steepest cuts, unveiled this weekend, came for the Santa Clara, Calif., companys fastest Pentium 4 processors, in particular the 3.6GHz 560 model, which saw its price drop by 34.54 percent, from $637 to $417 per 1,000 units shipped.

Price cuts for other chips in the latest generation of Pentium 4s, which come with model numbers as Intel de-emphasizes clock speed in its processors, range from 18.35 percent to 33.33 percent.

Intel also cut prices on its older Pentium 4 processors by the same range.

/zimages/2/28571.gifClick here to read about Intels decision to delay its highest-speed Pentiums.

Prices of Intels low-end Celeron chips were reduced by 6.74 percent to 11.97 percent, while Mobile Pentium 4 processor prices were reduced by 13.68 percent to 20.41 percent.

For several of its 64-bit Itanium 2 processors, Intel cut prices from 11.88 percent to 31.99 percent. The deepest cut was for the 1.3GHz Itanium 2, from $1,338 to $910 per 1,000 units.

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