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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: rupert1 who wrote (69696)	10/23/1999 1:50:00 PM
From: Captain Jack	Respond to of 97611

B: Intel Slashes Prices In New Pentium Rollout -- But Hardwa B: Intel Slashes Prices In New Pentium Rollout -- But Hardware Makers And Users Are Reluctant To Make Major Changes Until After New Year Oct. 22, 1999 (InformationWeek - CMP via COMTEX) -- Intel this week will launch -at bargain prices-a host of new Pentium III, Pentium III Xeon, and Pentium III mobile chips based on its 0.18-micron manufacturing process, dubbed Coppermine. The chips range in speed from 500 MHz to 733 MHz, surpassing industry expectations. They will be priced at about $450 for a 600-MHz chip, sources say, comparing favorably to Pentium IIIs based on 0.25-micron technology, which are priced at about $615. Several hardware manufacturers also are set to unveil systems based on Coppermine technology. Dell Computer will unveil its PowerEdge 2400 (see story, p. 107), while IBM is rolling out Intellistation workstations and PC 300s. IBM is also ready to ship Netfinity 5600 NT servers that feature the new Pentium chips. Pricing starts at $3,589 for units equipped with a 533-MHz chip. "We're already seeing demand for this," says Alex Yost, IBM's worldwide marketing manager for Netfinity products. These systems owe their lower costs to a sharply reduced pricing model. Analysts say Intel has little choice but to lower its prices in the wake of renewed competition. Intel may also have trouble shipping the new chips in volume until early next year. The delay, combined with customers' Y2K policies, has caused Compaq to delay shipping products with Coppermine technology. "It's getting too late in the year, and it's too close to Y2K," says Tom Lattin, Compaq's director of server marketing. Some IT managers agree. Says Lorin Olsen, senior manager for IT infrastructure planning at Sprint, "We're not implementing a major chip change or anything that would require recertification this quarter." -0-