Intel Drops Desktop, Server Chip Prices As Much As 40% - InformationWeek
IoT
IoT
Infrastructure // PC & Servers
News
1/20/2009
02:58 PM
50%
50%
RELATED EVENTS
Building Security for the IoT
Nov 09, 2017
In this webcast, experts discuss the most effective approaches to securing Internet-enabled system ...Read More>>

Intel Drops Desktop, Server Chip Prices As Much As 40%

The price cuts came three days after Intel reported a 90% drop in net income for the fourth quarter of 2008.

Intel has dropped the prices of some of its quad-core desktop and Xeon server processors by as much as 40%, as the company battles with rival Advanced Micro Devices for customers in a PC market hammered by the economic downturn.

For servers, Intel cut the price of its 3.0-GHz Xeon X3370 chip to $316 from $530. The company also dropped the prices of its Xeon 2.83-GHz X3360, 2.66-GHz X3350, and 2.66-GHz X3330 by 16% to $266, $266 and $224, respectively.

For the desktop, Intel slashed the price of its quad-core, 3.0-GHz Q9650 to $316 from $530. The chipmaker also made significant reductions to several other quad-core processors: the 2.83-GHz Q9550, 2.66-GHz Q9400, 2.5-GHz Q8300, and 2.33-GHz Q8200s. The reductions were 16% to $266, 20% to $213, 18% to $183, and 16% to $163, respectively.

Intel also cut the price of the Core 2 dual-core 2.8-GHz E7400 15% to $113. Among dual-core Pentium chips, Intel dropped the prices of the 2.6-GHz E5300, 2.5-GHz E5200, and 2.4-GHz E2220 by 14%, 24%, and 14% to $74, $64, and $64, respectively. The vendor also dropped the price of its dual-core 2.0-GHz Celeron E1400 by 19% to $43.

For the laptop market, Intel dropped the price of one dual-core Core 2 processor, the 2.4-GHz P8600, which fell 13% to $209. Prices for some single-core Celerons were also cut from 19% to as much as 48%.

The price cuts, which took effect Jan. 18, came three days after Intel reported a 90% drop in net income for the fourth quarter of last year. Intel revenue fell 23% as the chipmaker suffered the effects of an economic slowdown that has resulted in a drop in sales of PCs and consumer electronics.

Global PC sales in the fourth quarter fell for the first time in six years, according to researcher IDC. Shipments dropped 0.4% from a year ago and 2.5% from the third quarter. The decline followed a half-dozen years of rising shipments, with the last five averaging increases of 15%.

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
2017 State of IT Report
In today's technology-driven world, "innovation" has become a basic expectation. IT leaders are tasked with making technical magic, improving customer experience, and boosting the bottom line -- yet often without any increase to the IT budget. How are organizations striking the balance between new initiatives and cost control? Download our report to learn about the biggest challenges and how savvy IT executives are overcoming them.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll