Intel cuts some processor prices

Intel cut the prices of some of its microprocessors, including that of its most expensive desktop Pentium 4 processor, on Monday.

The 3.06GHz version of Intel’s Pentium 4 chip with a 533MHz front-side bus was reduced from $589 to $401. The reduction of around one third makes the chip a little cheaper than Intel’s newest Pentium 4 chip, which has a clock speed of 3GHz and a faster 800MHz front-side bus. That chip was launched last week, and becomes the most expensive desktop chip after the cuts.

The front side-bus connects the processor to the chipset. The speed jump from 533MHz to 800MHz provides users with increased performance, particularly when running demanding applications, according to tests by PC World.

Monday’s price cuts also included reductions in Intel’s Pentium 4M and Mobile Celeron range of notebook processors. The cuts follow the launch in early March of Intel’s first processor designed specifically for notebook use, the Pentium M.

Prices of Pentium 4 M chips were cut by up to 38 percent, with the largest cut being for the 2.4GHz version of the chip which was reduced to $348. Mobile Celeron processor prices were cut by up to 16 percent.

Intel also cut the price of its fastest Xeon processor. The 3.06GHz version of the chip was reduced by 4 percent to $690.