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Intel price slashing to remain unabated

Katmai, Tanner prices leaked comprehensively

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Details have emerged about the introduction of Intel's Tanner processor, a 500MHz part with 512K of level two cache. At the same time, it has emerged that Intel will keep the price of its high end Xeon server platform right up through until the beginning of next year. According to a leaked price roadmap, which The Register understands is reliable, and is already available on Tom's Hardware page, Tanner will launch at a price of $931 when bought in quantities of 1,000. Tanner is expected to arrive towards the end of this year or early next year. However, on October 25th, Intel will cut the price of its PII/Xeon 450MHz part from $2,680 to $1,900 when bought in thousands, while the high end PII Xeon with 2Mb of level two cache will stay steady at $3,690. Katmai will be introduced early next year and the pricing quoted is $800 for a 500MHz part, while the 450MHz part is likely to be much less at $570. By early January, prices of the PII/450 will have dropped to $520 from their current position of $670, while the 350MHz PII will slump them from its current price of $420 to less than $200. The original Celeron 266 part will disappear in October, as reported here but by early January next year, the 333MHz Mendocino Celeron part will have dropped to $140, while the 300A will be around $100. That will aid the ramp of the Celeron parts, according to OEMs familiar with Intel's plans. ®

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