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Intel Intros Core 2 Extreme QX6850 As Price War Looms

The news that Intel will launch its fastest quad-core processor yet, the 3.0-GHz Core 2 Extreme QX6850, comes just as a bruising price war is beginning between the chip behemoth and its smaller rival, AMD.

Word that the QX6850 is expected to sell for about $999 adds some additional perspective to my report earlier today that Intel is planning to cut the prices of its quad-core processors on July 22.

It currently offers three devices: the Core 2 Quad Q6600, Core 2 Quad QX6700, and Core 2 Extreme QX6800. They are priced at $530, $999, and $1,199, respectively.

If the QX6850 is coming in at $999, it's clear that the three existing quads will have their prices slashed so that they're all significantly below that $1k high watermark.

That's bad news for AMD. For one thing, its Phenom desktop quad-core processor won't ship until later this year. Currently, AMD ships only dual-core parts. It recently cuts the prices of its top of the line Athlon 64 FX-74 and FX-72 processors to $599 each.

However, with Intel's looming price cuts, it's likely that you'll be able to get at least two of Intel's quad parts for less than AMD's best dual-core offerings.

Here's Intel's notice of its coming quad-core price cuts. (click to read original story)

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