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Intel price drops confirmed

Firm lays ground for other intros

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Intel has reduced prices on its Xeon and Pentium III microprocessors, as revealed here some time back.

The reductions on the Pentium III family, at least, are intended to pave the way for the introduction first of the 1.13GHz Pentium III at the end of this month, and later for more swingeing price cuts as the firm increases production of its 1GHz Pentium III chip.

In the Xeon family, the 933MHz part with 256K cache has dropped in price by nine per cent, to $719, the 866MHz part with 256K cache by 16 per cent to $515, and the 800MHz with 256K cache to $425, a drop of two per cent. The 733MHz Xeon remains at $425.

Xeon processors with larger caches (so-called Cashcades chips) remain at their current pricing levels.

The level of reductions on Pentium III processors, both in the SECC2 (slut one) and the FC-PGA (S370) packaging, are more extensive.

The 933MHz part drops by ten per cent to $669, the 866MHz part by 17 per cent to $465, the 850MHz part by 17 per cent to $455, and the 800MHz part has the biggest drop in the family, by 24 per cent to $294.

The 750MHz Pentium III drops by 22 per cent to $262, the 733MHz Pentium III drops by 11 per cent to $219 and the 700MHz drops by 11 per cent to $214.

This spells the beginning of the end for the 700MHz as its price moves closer to the 733MHz Pentium III.

Intel's Pentium III 666MHz, 650MHz and 600MHz remain at $193, showing that they are now, effectively, gulagged.

All prices above are those Intel charges customers who buy the processors in trays of 1,000. ®

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