Feeds

Lion roars because of Intel chip pricing

Big German distie forced to buy AMD chips

  • alert
  • submit to reddit

Intelligent flash storage arrays

Intel Developer Forum German distributor Lion said today it was forced to sell AMD chips because of channel conflict which Intel has failed to resolve. Karl-Heinz Muller, general manager of networks and systems at Lion, said that large shopping chain Aldi was selling systems using PII/400 and PII/450 systems at a price Intel would not give his company. Aldi's prices for so-called performance systems were so good that even his dealer customers were buying from Aldi. They are stripping down the machines and re-using the components including the Intel motherboards and chips. While Muller said that Intel had offered him a good price on Celerons, much of his business was concerned with SCSI workstations, which required PII/400s and PII/450s. However, Intel's inability to offer him a good price or provide him with any explanation means that he is being forced to use K6-2s. Lion is one of Intel's 25 Tier Three distributors in Europe and says it is one of the top five channel players. It buys something like 40,000 chips a month. Aldi sells the performance PCs at irregular intervals throughout the year, typically selling 200,000 units a time, which go like hot cakes. But Paul Otellini, a senior VP at Intel US, said: "Our pricing policies have stood the test of time. It is a level playing field. "Our discounts between large customers and smaller customers in single figures. Our pricing is very fair." ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
MI6 oversight report on Lee Rigby murder: US web giants offer 'safe haven for TERRORISM'
PM urged to 'prioritise issue' after Facebook hindsight find
Assange™ slumps back on Ecuador's sofa after detention appeal binned
Swedish court rules there's 'great risk' WikiLeaker will dodge prosecution
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
NSA mass spying reform KILLED by US Senators
Democrats needed just TWO more votes to keep alive bill reining in some surveillance
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?