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Intel Announces Price Cuts

Intel cut prices on some models of Xeon and Pentium 4 processors between 6 percent and 21 percent this week.

The Xeon processors involved in the Sunday price cuts were of the dual-processor server and workstation variety, not the higher end Xeon MP chips. Cuts of 16 percent affected the 2.66-GHz and 2.6-GHz Xeons, which dropped from $337 to $284 and $326 to $273, respectively.

The 2.4-GHz Xeon with a 533-MHz front-side bus came in for an 11-percent cut, falling from $234 to $209. The 2.4-GHz Xeon with a 400-MHz front-side bus dropped 12 percent from $224 to $198. Also in line for a 12-percent cut was the 2.2-GHz Xeon, which went from $224 to $198. All prices are in 1,000-unit quantities.

All 10 of Intel's Pentium 4 desktop processors saw price cuts. The big 21-percent cut affected Pentium 4s with clockspeeds from 2.66-GHz down to 2.5-GHz, bringing some of the chips down to the $193 range. All of the slower Pentium 4s had their prices reduced 16 percent, while the two fastest versions had smaller price reductions.

The 3.06-GHz Pentium 4 went from $637 to $589, an 8 percent drop. The 2.8-GHz Pentium 4 dropped 6 percent from $401 to $375.

About the Author

Scott Bekker is editor in chief of Redmond Channel Partner magazine.

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