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Sales representatives at the Compaq Corporation are livid with Intel for preventing sales of servers using Xeon chips from being as good as CEO Mike Capellas wants them to be.

In particular, Compaq is warning its customers that availability of its four way servers has slipped seriously, due to Intel being unable to produce enough parts for the firm. According to the reliable source, there is much gnashing of teeth in Houston because Dell, up in Austin, seems to be receiving ample supplies of the offending Xeon items.

Compaq's SMP boxes don't use the bog standard chipsets and components that other vendors flog.

Four-way availability from Q has slipped until October, with customers being told that while the problems started with a lack of 700MHz Pentiums other difficulties have now kicked in. While Intel has done its best to turn this picture round, now other component difficulties are rubbing away at the raw wound, we understand.

The ProLiant SMP servers that Compaq sells are the cream in Q's coffee, making the situation more embarrassing than otherwise, sources report.

But the good old laws of supply and demand, as exemplified in Intel's least favourite PC game, Caesar III, are kicking in, adding to the shortage.

The following machines appear to have little or no problem. 550MHz Xeon ProLiant 6400R, 5500s, 8500s, and 8000.

However, the follow four way machines are all suffering shortages, with some not being avalable until October, at the earliest.

The ProLiant 5500, the ML570, the ProLiant 6400R, and the DL580, are all suffering, but, more seriously, the ProLiant 8500 and the ProLiant 8000 -- both eight way servers, have no delivery date in sight.

Other Compaq boxes are also in short supply. Capellas is screaming at Intel. If we hear Intel screaming back, then we know we're in for a great fight. ®

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