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Intel's Merced undercut by Compaq's Alpha

Volume will arrive when the daffodils are blooming

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Alpha partner Samsung is now selling fast processors for as little as $250, it has emerged. According to confidential documents seen by The Register, .25 micron 533MHz Alphas will ramp to high volume in spring. They currently cost $250/1000. And when the 800MHz Alpha is released later on this year, it will also be priced at the $250 volume mark. Intel is expected to price its Merced processor, sampling in June and expected next year, at over $1,500. The information shows that Compaq, Samsung and the other Alpha partners are serious about taking on Intel in the high end server market. The pricing information we have seen means that large PC OEMs, including Compaq, Dell and HP, can ship 64-bit systems this year, possibly using Linux rather than NT, at a fraction of the cost a Wintel box will cost. ®

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