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Intel Cuts Chip Prices by up to 53 Percent

babbage1815 writes: "Intel Corp. has cut prices on some of its microprocessors by as much as 53 percent as the world's largest chipmaker's investments in manufacturing over the past two years are starting to pay off." Most of the cuts are at the very high end of the line -- it'll be interesting to see what happens to the prices of the competing AMD offerings.

11 of 307 comments (clear)

  1. Is this supposed to surprise us? by digital_freedom · · Score: 2, Informative

    Moore's Law predicts that this will happen which is that we will see the doubling of hardware capacity per dollar every 18 months. It looks like Intel has just finally decided to shift down it's prices. I guess the gravy train of overcharging on processers is over for now, until they release another model chip (which is really based on the last one). What will they call this one? Pentium V? Pentium Squared? Pentium Pentium?

  2. AMD price cuts expected tomorrow by Seth+Finkelstein · · Score: 5, Informative
    ... it'll be interesting to see what happens to the prices of the competing AMD offerings.

    From more coverage at ZDNET:

    Advanced Micro Devices, Intel's rival in processors, will likely cut prices to match Intel's cut. AMD typically announces price cuts a day or so after Intel. The Sunnyvale, Calif.-based company is also expected to soon release "Thoroughbred," a faster version of its Athlon chip, made on the 130-nanometer manufacturing process, for desktop computers. The company is currently shipping the chip to PC makers, a spokesman confirmed, and will release the chip to the public shortly.

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  3. what Pricewatch has to say by Kargan · · Score: 5, Informative

    Okay, I was curious enough to check Pricewatch (www.pricewatch.com) and found about the same story there as I've found for the last few years.

    $395 Pentium 4 2.4GHz
    $245 Pentium 4 2.2GHz Sock 478
    $195 Pentium 4 2.0GHz Sock 478
    $173 Pentium 4 1.9GHz Sock 478

    $186 Athlon XP 2100
    $146 Athlon XP 2000
    $122 Athlon XP 1900
    $95 Athlon XP 1800

    You can get an AMD 1.53GHz for less than $100 now!!

    These price cuts by Intel are long overdue by my reckoning, and while it is a step in the right direction, they've still got a ways to go.

    Anyone wanting a CPU upgrade at this point anyway would be wise to wait a bit for the 64-bit CPU price war to begin, it's not far away at all, and then all these chips will look slow and clunky.

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  4. Re: Moore's Law by Anonymous Coward · · Score: 1, Informative

    So now it's hardware capacity *per dollar*? Moore's Law originally had information/silicon doubling every 12-18 months, then it was processor speed, now it has "per dollar" thrown in there. Moore wasn't just a visionary, but a scalable one at that.

    Check out the Jargon File entry on this one.

  5. Next price cut in October? by DeadBugs · · Score: 3, Informative

    Many sites have been stating that the next price cut won't be until October. I also found it interesting that Intel is selling some of it's stock in AMD.

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  6. Re:P4 vs. PIII prices by sacremon · · Score: 3, Informative

    Except that the Tualatin PIII's with 512KB cache are relatively new. They released them only 2-4 months ago. My thought is that marketing is the motivation, that they are trying to push the new technology, but to make a Xeon cost less than a PIII is just weird.

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  7. Re:I'd love to upgrade my CPU, but... by ljaguar · · Score: 2, Informative

    I assume you mean slot 1.

    Actually, I did the calculations a few days ago. So I can say with confidence.
    For the record, I have P-III 450Mhz the slowest ever manufactured. It's of course, slot 1.

    There is actually an adapter from flipchip->slot 1 (http://www.pricewatch.com/1/239/2143-1.htm)($14), so you can upgrade your computer to around a gig. If you have slot 1, you most likely have 100Mhz FBS. These new pentium III have 133mhz, so you will either underclock or look for the rare 100Mhz chips. If you insist on slot one, the Pentium III 1000Ghz 100Mhz slot 1 can be attained for around $183.

    The catch is, you can't use the most recent P-III called "taulatine," I believe featuring flipchip 2 or something or the other. Taulatines include some 1.0 Ghz and all 1.13 Ghz and above.

    Now the _real_ catch is, a decent motherboard + recent AMD Athlon XP costs just as much.

    For example, this ECS-K7S5A (which is nice, because it still can use non-DDR DIMM's) costs under $60 and ATHLON 1700+ costs $110. Good deal, if you ask me.

  8. P4's are no good for servers by DietFluffy · · Score: 2, Informative

    P4's consume too much power and generate too much heat. This is the reason why P3's are still used in most rackmount servers. This is why Intel is charging so much for the Tualatin 512KB P3 and so little for the P4 Xeon.

  9. Re:When will those price cuts get down to us? by Anonymous Coward · · Score: 1, Informative

    You would assume that dell would be able to pass along the cheaper cpu prices to the consumer considering the just in time (JIT) inventory ordering system they use. Basically you pay for your computer components before dell orders them, so they have the advantage of buying at current market prices and the option of passing along any savings to the consumer.

  10. Re:I think AMD is in trouble by beamz · · Score: 3, Informative

    Power?
    I didn't know 20watts of power equated to a $10-$15USD price difference in your powerbill. I'm sure you use candles at home because 1 60watt bulb costs $30-$45 to run a month.

    So really... What percentage of the cost is 55CDN/30USD? An AMD and Intel MSI based motherboard runs about $65-$70USD on pricewatch, $81USD for an Athlon XP 1600+, $129USD for a P4 1.6 and buy a 256MB stick of DDR for $75USD so what you get is ~$226USD for AMD vs. ~$274USD for P4.

    About 20% cheaper. So by my numbers you save ~$50USD. When you're talking about 20% difference, it makes a difference.

    Flame away.

  11. This is a pretty weak flame! by Dr.+Spork · · Score: 3, Informative
    Please write back when you have looked up the energy consumption (~heat production) of a new Athlon compared to a (.18-micron) P4. I think you'll find the difference is negligible, certainly not enough to make a difference in room temperature.

    As for getting a good frame rate in Quake3, your comment is pretty stupid. Unless you have an ancient graphics card, you surely get a higher frame rate with your Athlon than the refresh frequency of your monitor. I know I like playing at 1600X1200, and I still get better than 85fps, which is all my monitor can display.

    If you've fallen for Intel brainwashing, that's your own problem. Just don't go thinking you're insightful when all you do is repeat their FUD without really taking the time to look at real specs.