Greg - Re: Intel is Getting REAL Agressive in Pricing!
More low cost, high end PC's with Intel Inside!
zdnet.com
Gateway gets aggressive with loaded $1,499 PC
By Lisa DiCarlo, PC Week Online 12.30.97 10:15 am ET
Gateway 2000 Inc. has found a new way to compete in the cutthroat PC price market -- throw in extras like color printers.
The North Sioux City, S.D., direct marketer on Monday announced the G5-233 desktop PC, which includes a 233MHz Pentium with MMX processor, 15-inch monitor, color printer, 16MB of RAM, 1.6GB hard drive, 12-speed CD ROM drive and 56K-bps modem for $1,499.
By comparison, market leader Compaq Computer Corp. is selling a Deskpro 2000 with a 233MHz Pentium with MMX, 32MB of RAM, 3.2GB hard drive and 16-speed CD ROM drive for $1,899. The price does not include a monitor or printer.
Although the Compaq system has more memory and a bigger hard drive, Gateway is banking that consumers will buy because of the added extras. Most PC makers do not include a monitor in the quoted purchase price.
Other major PC makers are expected to drop prices on their Pentium II systems in the coming weeks, thanks to Intel Corp.'s 33 percent price cut on 233MHz Pentium II processors.
Intel, of Santa Clara, Calif., is expected to cut chip prices again, this time more broadly, in late January.
Paul |