To: John Koligman who wrote (49339 ) 3/4/1998 3:04:00 PM From: Barry Grossman Respond to of 186894
Thread,techweb.com Intel Gets Ready To Slash Price Of Fastest Pentium (03/04/98; 12:59 p.m. EST) By Kelly Spang, Computer Reseller News By the middle of this month, value-added resellers (VARs) can expect Intel to drop the price of its fastest Pentium II by almost 20 percent. Traditionally, Santa Clara, Calif.-based Intel lowers its processor prices at the start of each quarter. However, the company may adjust specific processor prices during the quarter, as well, according to industry sources familiar with Intel's plans. Intel officials declined to comment on pricing. Midquarter price adjustments will reflect increased manufacturing capacity, thus prompting Intel to lower prices to pass savings along to VARs, sources said. On March 16, Intel will drop the price of the Pentium II 333-MHz processor by about 18 percent, bringing the price in 1,000-unit quantities to less than $600, sources said. Intel introduced the Pentium II 333-MHz processor at the end of January with an initial price of $722. In the middle of April, Intel will drop the price of its entire processor line, resulting in the Pentium II 333-MHz processor priced less than $500, sources said. April will be a busy month for Intel with several product launches, and the April 15 price cut will coincide with several desktop product introductions supporting the 100-MHz system bus. On April 15, Intel will debut the first Pentium II processors based on the 100-MHz system bus, a 350-MHz and 400-MHz product, along with the 440BX chip set. At the same time, Intel will also introduce its low-cost Pentium II product line, known as Covington, code-name for a Pentium II 266-MHz processor without any Level 2 (L2) cache. In the next week, sources said Intel is expected to disclose its branding strategy for its low-cost Pentium II product line. On April 2, Intel will unveil its Pentium II 233-MHz and 266-MHz processors for the mobile market, though Intel and notebook original equipment manufacturers will make a public splash of its newest processors at the CeBit show held in Germany in a couple of weeks. The mobile Pentium II processor will integrate 512 kilobytes of L2 cache and will be 85 percent smaller than the desktop product. Intel will offer both a mini-cartridge and a mobile module for its Pentium II processor.