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Intel, AMD to slash desktop processor prices

Chip costs cut by up to 29 per cent

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AMD and Intel will both aggressively cut the prices of select desktop processors next week, by up to 23 per cent and 29 per cent, respectively.

Intel's cuts will take place on 28 October, which is a Sunday so effectively they won't happen until business opens on Monday morning. Which is when AMD's own cuts will be applied.

AMD is expected to trim its Athlon XP prices as follows:

CPU New Price Old Price Cut
XP 1800+ $210 $252 17%
XP 1700+ $152 $190 20%
XP 1600+ $124 $160 23%
XP 1500+ $115 $130 12%


Since that will push the 1600+ and 1500+ to below the current price of the 1.2, 1.3 and 1.4GHz Thunderbird Athlons, we expect these chips to have their prices cut too, though we don't yet have specific figures for them.

We anticipate Intel will cut its desktop Pentium 4 and Pentium III prices as follows:

CPU New Price Old Price Cut
Pentium 4
2.0GHz $401 $562 29%
1.9GHz $273 $375 27%
1.8GHz $225 $256 12%
Pentium III
1.2GHz $241 $268 10%
1.13GHz $193 $225 14%
1.10GHz $193 $225 14%
1GHz $173 $193 10%


Intel will also be cutting selected server CPU prices:

CPU New Price Old Price Cut
Xeon
2.0GHz $455 $615 26%
Pentium III-S
1.26GHz $300 $337 11%
1.13GHz $235 $257 9%


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