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Dell chops US laptop prices

Up to 20 per cent cheaper

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Dell has chopped up to 20 per cent off laptop prices in the US.

The PC giant claimed the last minute Christmas move, which affects models in its Latitude corporate range, was the result of falling notebook component prices.

But it comes in the midst of a retail slump which has seen many of Dell's rivals cutting prices or offering freebies or rebates in a bid to snare shoppers. Analysts have also warned that the current sales slowdown and rising inventory levels will hit notebooks worse than PCs.

Yesterday's price reductions effect around ten models, including the Latitude CS Ultramobile with PIII 500MHz chip and 128MB SDRAM and 6GB hard drive, which was cut 20 per cent to $1,559. The company also reduced prices on its Latitude C600 and C800 by up to nine per cent - now priced at $1,999 and $2,599, as well as prices on optional upgrades.

Dell is one of a plethora of IT companies that have issued revenue warnings this quarter. Yesterday eMachines added its own to the pile, saying it expected sales of between $120 million and $130 million for the fourth quarter ending December 30 - actually lower than the previous year's Q4. ®

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