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Intel set to cut prices ahead of AMD's "Barcelona" launch

Last week, AMD talked about its desktop plans for the upcoming year in Sunnyvale, California. Although AMD showed its upcoming desktop processor running in single and dual-socket configurations, the company chose not to announce an official launch date for its next-generation desktop processors. According to Robert Rivet, AMD executive vice president and CFO, however, AMD's next-generation processors will be ready by Christmas.

Despite how distant the possible December launch date of AMD's native quad-core desktop processors may seem, Intel is already stepping up the competition and will be instituting a series of aggressive price cuts in July. We originally reported these major price cuts, which will be targeting Intel's quad-core desktop and server processors, in March. At the time, we didn't know the official date of when the price cuts would take place. We can confirm today that the price cuts will take place on July 22.

Intel Core 2 Quad
L2 Cache
FSB July 22
QX6800 2.93 GHz 8MB 1066 MHz
Q6700 2.66 GHz 8MB 1066 MHz
Q6600 2.40 GHz 8MB 1066 MHz

The first part of the price cuts will center on Intel's quad-core desktop processors. The Q6600, which Intel launched in February, currently sells for $530 in quantities of 1000. When the product was originally launched, it was priced at $851 in quantities of 1000. The next round of price cuts will effectively lower the price to $266. The selling price of the Intel QX6700 will also be lowered, coming in at $530 by the end of July.

Intel Quad Core Xeon DP
L2 Cache
FSBJuly 22
X53653.00 GHz 8MB 1333 MHz
X5355 2.66 GHz8MB 1333 MHz
E5345 2.33 GHz 8MB 1333 MHz
2.00 GHz 8MB1333 MHz
E53201.86 GHz 8MB 1066 MHz
1.60 GHz 8MB1066 MHz
L53201.86 GHz 8MB 1066 MHz
1.60 GHz 8MB1066 MHz

Intel is also slashing the prices of its quad core Xeon DP processors. The flagship Xeon DP X5355 will see its introductory $1172 price drop to a more manageable $744. Likewise, Intel's slowest 1333MHz FSB Xeon DP processor will drop to $316 while the Intel's two low-voltage Xeon DP L5320 and L5310 processors will fall to $320 and $273 respectively.

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Intel is out for blood
By hellokeith on 5/15/2007 7:09:58 PM , Rating: 5
Looks like Intel has learned its lesson. They are continuing their performance, power, and price onslaught on every front against AMD.

I do hope AMD survives, if not for the sake of competition and better prices/features for consumers, though I don't plan on purchasing any AMD hardware for a long, long time.

$266 for a quad core 2 ??? That's insane.. in a good way.

RE: Intel is out for blood
By thebrown13 on 5/15/07, Rating: 0
RE: Intel is out for blood
By Mitch101 on 5/15/2007 7:21:29 PM , Rating: 2
Luckily Barcelona is a beast even at 2.5ghz.

If the respin in silicon is true then AMD will make some serious cash on CPU's in the server market.

A 2.5ghz Barcelona will beat a 3 ghz quad Intel. A 2.9-3.1Ghz Barcelona launch will be monsterous for the company.

RE: Intel is out for blood
By stromgald on 5/15/2007 7:43:44 PM , Rating: 5
The issue for AMD isn't whether Barcelona can match Core 2. From the rumors and leaks, it's pretty clear that clock for clock, Barcelona is better. But that's to be expected from a newer architecture.

AMD's technical side isn't the problem. It's the finances. Even if Barcelona is much more powerful per clock speed than Core 2, they still might be in trouble if they can't match Intel in performance/price.

The question is whether AMD can price their 2.5Ghz Barcelona at the level of a 3Ghz quad Intel. And that remains to be seen.

RE: Intel is out for blood
By MonkeyPaw on 5/16/2007 10:26:36 AM , Rating: 2
That's the thing, when AMD has the faster CPU, they don't compete with Intel's pricing. The 3800+ X2 was around $300 until the day Core2 arrived. Now it's $80. If Barcelona is indeed faster than Intel's Q-line, then it's quite likely that it won't be sold cheaply, especially since K10 will be in limited supply early on.

RE: Intel is out for blood
By TomZ on 5/15/07, Rating: 0
RE: Intel is out for blood
By Mitch101 on 5/15/07, Rating: 0
RE: Intel is out for blood
By TomZ on 5/15/2007 8:10:36 PM , Rating: 1
I didn't say Barcelona will be a dud - I'm not making any performance claims because I haven't seen any real numbers. But to answer your question, Intel clearly wants to marginalize AMD, which is the reason for their obviously very agressive strategies.

RE: Intel is out for blood
By Polynikes on 5/15/2007 9:59:39 PM , Rating: 3
Intel doesnt need to cut prices if they know the AMD chips arent faster.

Yet they had price cuts not that long after they released Core 2 Duos, despite the fact that nothing on the AM2 platform could keep up with them. Like someone said earlier, Intel IS out for blood and wants to stay a step or two ahead if they can. It's just good business. It's not like the price cuts are hurting them.

RE: Intel is out for blood
By Conroe on 5/15/2007 10:44:51 PM , Rating: 2
Intel doesnt need to cut prices if they know the AMD chips arent faster. So why do it?

To sell more chips! It's not all about beating AMD, it's all about selling and making a profit. Just think about it, how many would buy a Q6600 if it was $800 and how many would if it's $266? The fact is they can keep their FABs more busy and sell more CPUs and make more money with these low prices! AMD could do it too, if only they could.

RE: Intel is out for blood
By Mitch101 on 5/16/2007 9:36:38 AM , Rating: 1
Yes this is a tactic to undermine AMD and sell more cpu's and take more market share from AMD in the pre-release of Barcelona. Barcelona is a beast you will see the benchmarks soon enough. As for why you dont its simply because AMD needs to liquidate thier inventory. Heck they still have 939 and 754 chips to liquidate but those inventories are just about low enough for AMD to make some formal announcements about Barcelona.

What everyone here is overlooking is that Intel can actually sell CPU's at the cost of manufacturing so the prices can go even lower. WHY? Because most Intel CPU's are actually sold with Intel Motherboards. Not everyone buys an NVIDIA motherboard especially on the server side of things. So if Intel doesnt make the money on the CPU's it makes it in Motherboard sales. Note the top end Intel chips which will be ordered by companies arent coming down in price. Thats because general consumer dont buy these but companies do and as I said companies dont flinch at spending an extra grand or two on a server. This is one reason why AMD had to buy ATI. Something majorly overlooked in the profit potential is motherboard sales.

Oh Golly I can buy an Intel quad core for $266.00 well then chances are you want a good motherboard to go with that and an Intel motherboard is where Intel will makes its money. Its certainly a great deal but expect to pay a premium if you want a good motherboard to go with it. The 965 chipset if one of Intels best chipsets and since most people will never consider SLI then its certainly a good buy because the 965 is probably better than NVIDIA's single PCI-E slot motherboards. Pairing up a quad core cpu with a $50.00 motherboard is like putting a V8 into a yugo and wanting corevette performance. In a straight line it might do great but try taking corners.

On the server side Intel charges the premium for the CPU and the motherboard.

Everyone is basing it just on the CPU cost? Most of the time you require the coresponding motherboard to work with that new CPU. Im sure those DDR3 motherboard will be real cheap LOL but you know that most consumers are too stupid to know that their is no benefit to a DDR3 motherboard over a low latency DDR2 motherboard so Intel can make a premium on Marchitecture. Companies and most people generally dont just upgrade the CPU they buy a whole new system to replace a previous one. Scratch build machines are not the main stream of sales.

On the CPU front yes this hurts AMD maybe AMD can only make $10.00 a cpu now for the mainstram but with AMD aquiring ATI then AMD can possibly make a few more on Motherboard sales which is something they couldnt do before.

You have to look at the final cost of CPU AND MOTHERBOARD. If the Intel CPU is $266 and the coresponding motherboard is $219.00 then its $485.00. If AMD's Barcelona is $350.00 and the motherboard is $120.00 then the AMD combo is cheaper at a total of $470.00. And we are all noticing that NewEgg and several other companies are selling combo deals right? AMD can make money on Motherboards dont forget that. Its not just graphics chips and cpu's.

I will ask one question see if you can answer this it will seem irrelevant but see if you know the answer.

What does a boeing 747 weigh?

RE: Intel is out for blood
By rcc on 5/16/2007 1:05:22 PM , Rating: 2
What does a boeing 747 weigh?

That's a general question asking for a specific answer. It's non-sensical. What model 747, what options, loaded or empty, fueled for what range, what engine configuration, etc.

RE: Intel is out for blood
By Mitch101 on 5/16/2007 1:36:49 PM , Rating: 2
Excellent answer rcc and exactly what I was looking for.

How many passengers are on the plane, Food loaded, etc. Its the idea that everyones focus is simply on the CPU price and not any of the surrounding items which also make up the price machine price. Like buying a Quad and not taking into consideration the motherboard, ram, power requirements, cooling, etc.

A good example is E-Bay with one item costing $15.00 and the next costing a $1.00 but has rediculous shipping. The $15.00 could be a better buy in the end but someone gets duped by it only costing a dollar.

The incorrect answer would have been the weight as listed by wikipedia or other source without looking into all the possibilities. I expected at least one person to just give the base weight of the plane.

RE: Intel is out for blood
By Mitch101 on 5/17/2007 12:35:46 PM , Rating: 2
Here comes more Barcelona info. But maybe Im still talking out my behind.

AMD Barcelona can potentially smash Intel

AMD Performance Library 1.1 Preview

RE: Intel is out for blood
By cochy on 5/16/2007 12:38:31 AM , Rating: 2
Intel doesnt need to cut prices if they know the AMD chips arent faster. So why do it?

A Xeon sold is money in Intel's pocket plus an Opteron not sold for AMD. A company buying or upgrading a server come Q3 won't be thinking to re-upgrade come Q4 and Barcelona. Even if Barcelona has a performance lead.

AMD would be extremely wise to come forward with some real benchmarks and real world numbers soon in light of these Q3 Intel price cuts. If they don't it can basically almost be assumed Barcelona will fall short of taking the lead in 1-2 socket systems.

RE: Intel is out for blood
By Proteusza on 5/16/2007 4:25:45 AM , Rating: 2
Yeah, if they released benchmarks for barcelona they might convince the corporate bigwigs to hold off upgrading that server until Barcelona is available. I know AMD is keen to keep information under wraps so that Intel cant react, but if they said the cheapest Barcelona server proc will be say $300, and it offered 25% more CPU power than a Xeon while using the same amount of power, then the IT directors etc would sit up and take notice. thats their market, thats where the big money is - in servers.

RE: Intel is out for blood
By vignyan on 5/16/07, Rating: 0
RE: Intel is out for blood
By mino on 5/16/2007 2:45:47 AM , Rating: 2
Intel, customer oriented ?

What are you smoking ?
I want that!!

PS: As guy above said, Intel is there for blood, period.

RE: Intel is out for blood
By TomZ on 5/16/07, Rating: 0
RE: Intel is out for blood
By GoatMonkey on 5/16/2007 8:17:34 AM , Rating: 2
I think this is more of a "kick 'em while they're down" kind of thing, and a drive to get back the market share they've lost over the last few years.

RE: Intel is out for blood
By skaaman on 5/17/2007 11:20:18 AM , Rating: 2
Isn't that what business is all about? Intel is the 800 pound gorilla. Not to long ago the gorilla was napping and AMD was crowing its competitive advantage. Well now the gorilla's awake, it's very focused and has a long term game plan that it is executing almost flawlessly. The ball is now in AMD's court. I have no doubts Barcelona will outperform current Intel offerings when it's finally released (it better for their sake.) But its window of opportunity will be short before Intel is their to trumpet yet another generation. The hopscotch will continue.

Intel is doing exactly what it should be doing. Intel had it's mis-cues in the past, but they have righted the ship. The problem for AMD is ANY mis-cue at this stage could be disastrous. It will be very interesting to watch it all play out.

RE: Intel is out for blood
By TodX on 5/15/2007 11:58:17 PM , Rating: 2
Found this
on Fudzilla last night in this article
As you can see the article was pulled soon after being posted. I guess someone didn't want those numbers out. Then again, you could doctor up a photo like that in a couple minutes nowadays. Either way, I thought I'd post it anyway.

RE: Intel is out for blood
By Motley on 5/16/2007 1:40:09 AM , Rating: 2
Doesn't look unreasonable. One thing you should notice however in the CPU-Z test, the processor selection dropdown is NOT greyed out. In a single processor system, it would be. What you are seeing is atleast 2 top of the line AMD Quad core's being benchmarked against a single Intel processor that isn't even the top of the line currently.

RE: Intel is out for blood
By Matty P on 5/16/2007 5:35:06 AM , Rating: 2
Thats definately the case - I've just checked it out on a quad core server and a dual quad core server :) Interesting to note that the supposed AMD chips get just under double the points of the single QX6700... Looks like its going to be a very close run thing!

RE: Intel is out for blood
By Amiga500 on 5/16/2007 6:17:11 AM , Rating: 2
Does Barcelona not have SSE4A instructions?

Should they not be registering on CPU-Z?

RE: Intel is out for blood
By tdawg on 5/16/2007 2:15:05 PM , Rating: 2
Barcelona chips have an L3 cache, right? The screenshot doesn't have an L3 cache.

Read this:

RE: Intel is out for blood
By vignyan on 5/16/2007 2:21:11 AM , Rating: 2
Completely Agreed with you!! :)

RE: Intel is out for blood
By Amiga500 on 5/16/2007 6:13:32 AM , Rating: 2
Do you not know that both Intel and AMD hand out processors to certain industrial companies for testing, and keep them under NDA?

Alot of people have seen the comparisons of Barcelona versus the Zeon quads. Its just they aren't supposed to talk about them.

Lets just say the clock-for-clock performance jump (Barcelona vs Clovertown) banded around the internet is pretty near the mark.

RE: Intel is out for blood
By TomZ on 5/16/07, Rating: 0
RE: Intel is out for blood
By Amiga500 on 5/16/2007 9:28:58 AM , Rating: 2
Yeap - of course, those chips already out in testing are not going to be the new spin cpus... which means their performance advantage clock-for-clock is on the low side if anything (compared to final production Barcelona chips).
Which would be a good thing for AMD would it not?

Note, I also said that it was a clock-for-clock rate. So with the silicon re-spin, they'll almost surely retain the same clock-for-clock advantage, but can run to 3GHz or whatever.

Also, this comparison was not made on benchmarks, but applications. Obviously cannot dicuss what applications exactly.

RE: Intel is out for blood
By Polynikes on 5/15/2007 9:55:55 PM , Rating: 1
We'll see if any of that's true when those processors are on the shelves.

RE: Intel is out for blood
By Mitch101 on 5/15/2007 7:31:12 PM , Rating: 1
The radeon line isnt entirely dead the benchmarks just look grim in AA and AF but with them turned off its actually on par with the NVIDIA top end and about $200.00 less.

Its possible drivers might be able to correct some of the AA & AF deficiencies but as long as its over 60fps its still good.

The heat though is an issue for me and Im sure a lot of other people.

Also AMD is respinning the Radeon Silicon to 65nm aka Radeon HD 2950 xt. It might just be a serious contender soon for the crown. AMD supposedly had a major breakthrough on 65nm respin. No telling what could happen in a few months.

Either way its priced well for its performance and includes some Physics which no one has been able to test and has HDCP built in the top end. Its not that bad.

RE: Intel is out for blood
By redbone75 on 5/15/2007 9:59:26 PM , Rating: 1
The radeon line isnt entirely dead the benchmarks just look grim in AA and AF but with them turned off its actually on par with the NVIDIA top end and about $200.00 less.

Umm... who exactly games without AA and AF? It's not just benchmarks (of which I could give a rat's @$$ about), but AMD is getting its butt kicked in real world performance testing as well. I'm all for competition, but the simple fact of the matter is Nvidia currently has no competition in the high end market. Yeah, maybe improved drivers will help AMD, but you cannot release a new product and have it perform poorly and cost more in its market segment, especially with the critical delays AMD experienced. And no, the HD 2900XT is not priced well for its performance.

As far as the rumors about Barcelona and Intel's supposed pre-emptive response to it, PLEASE STOP! You all sound like a bunch of 1st graders. Do the smart thing and wait until final silicone is released, or at least until we get some official preview of a sort from AMD before we start hypothesizing. Just remember that brand loyalty is okay, but it wasn't until Intel released the Core 2 that AMD finally dropped the price of even the X2 3800+ below $300US. Intel is no saint either. They were charging high prices for their poorly performing parts as well. If these companies have a chance, they will charge as much as they can for their products, so buy what makes sense to you! You don't have to justify your purchase to the brand-loyal zealots out there.

RE: Intel is out for blood
By FITCamaro on 5/15/2007 11:27:31 PM , Rating: 5
Umm... who exactly games without AA and AF?

*raises hand*

At 1680x1050 the games I play really don't need the AA. When you get to resolutions around 1600x1200 and over, AA starts to become not quite worth the performance hit since theres already enough pixels on the screen to not have a jaggy edge.

And 2900XT is priced barely over the 8800GTS 640MB card and gets a little better performance. So how is it priced badly? And the fact is that ATI's card is designed to do DX10. And until we know what the performance of both companies cards is in DX10, you can't call either a winner. If ATI can keep over 60 FPS and rocks DX10 while Nvidia gets higher frames in DX9 but is worse at DX10, I'd call ATI the winner.

RE: Intel is out for blood
By redbone75 on 5/16/2007 12:00:54 AM , Rating: 2
I don't have any real loyalties to either company, because they're both out for money. I want to see competition because it's ultimately good for the consumer. So, my post gets voted down because... there is a hint of truth to it? Face it, sure you can game at higher resolutions and feel the need to sacrifice AA and AF for performance, but if I'm spending $400 or more for a higher end part I want BOTH performance AND great image quality. Sure, both cards were designed with DX10 in mind, that's why people are buying them. And, yes, we won't know which one will perform better under DX10 until we get some DX10 titles; however, if history serves as any indicator, how much are you willing to bet that the new DX10 games are going to bring these first generation DX10 cards to their knees? Fact is these cards are being tested in the now, so their performance in DX9 games is paramount.
And 2900XT is priced barely over the 8800GTS 640MB card and gets a little better performance.

No, the 8800GTS 320MB even bests the 2900XT with the eye candy turned up, so how is the 2900XT better than the GTS 640MB?

By the time DX10 games are released both companies will likely have released refreshes to their lineups with more horsepower/better drivers/whatever to make them perform better. Like I said, you don't have to justify your purchase to anyone, much less myself. I don't care. I'm not going to spend the high dollar and not get the eye candy and performance I'm expecting, so that means Nvidia gets my money for now. Your reasons for buying either card are exactly that: your reasons. Don't get upset because someone makes a point that's common sense and truthful.

RE: Intel is out for blood
By redbone75 on 5/16/2007 12:08:48 AM , Rating: 2
Oh, a little addendum: these cards were designed for resolutions at 1680x1050 and 1600x1200 or more, so it's killer to release a card that can't provide the goods at these resolutions. Yeah, yeah, we're waiting on DX10 numbers, but we've all been excited about DX10 since it was announced. I'm anxious to see which card's architecture is better suited for DX10 like the rest of you, but if I'm buying one now means I'm playing games now. Otherwise, I'll just keep quiet and stick with my X1950.

RE: Intel is out for blood
By tinyface on 5/15/2007 10:17:59 PM , Rating: 2
Anyone would be naive if he/she thinks Nvidia has been sitting tight on 90NM process technology for their G80 series graphic card which has hold the performance crown since its launch last year while drawing less power. The success of the early launch proves they have a decent design so they can put more efforts on working with the foundry to shrink the die for better performance and power consumption. By contrast, AMD/ATI has to work on both ends.

RE: Intel is out for blood
By kamel5547 on 5/15/2007 7:33:01 PM , Rating: 2
Based on the divergance of the actions of NVidia and Intel my hunch would be there is more punch to Barcelona. Nvidia didn't budge on price before HD2X and we saw why, meanwhile Intel is dropping prices months before Barcelona will hit the desktop ( a time where they have no competition and could easily hold the line and sell the processors).

RE: Intel is out for blood
By Mitch101 on 5/15/2007 7:39:08 PM , Rating: 2
As I stated in another thread it was Intel that leaked the Barcelona benchmarks. Intel knows dropping prices before Barcelona is available is thier best way of getting more Intel chips into the channel.

Intel knows AMD has a serious chip thats why only SSE4 Penryn benchmarks were released instead of full blown Penryn benchmarks.

On the plus side AMD Barcelona benchmarks must come out before the price drop otherwise AMD will lose market share because of it.

RE: Intel is out for blood
By DallasTexas on 5/15/2007 7:50:07 PM , Rating: 3
".. it was Intel that leaked the Barcelona benchmarks..."

LOL. This is why this site is so much fun to watch.

RE: Intel is out for blood
By togaman5000 on 5/15/2007 8:04:58 PM , Rating: 1
that often happens, one company will release benchmarks that make them look favorable, and their competitors look inferior.

RE: Intel is out for blood
By TomZ on 5/15/2007 8:11:33 PM , Rating: 1
People also just make stuff up when posting to web sites like this one.

RE: Intel is out for blood
By johnd01 on 5/15/2007 10:03:41 PM , Rating: 5
People don't make this up! We just all have inside information that you don't!

To whit, I've heard from "very reliable sources" that AMD has a 64 core unified CPU/GPU/FPU/IOU running at 7Ghz per core at 5 watts all ready. The whole die is the size of a Dorito crumb (it's the first picometer core). Granted it was just a sample, but the High-K Unobtainium/Delirioum doping help up to over 227C before the motherboard melted.

They are just waiting for Intel to slip up before they unleash it. Damn marketing guys!

No seriously... if you only knew what I know.

RE: Intel is out for blood
By cochy on 5/16/2007 12:43:54 AM , Rating: 2
it was Intel that leaked the Barcelona benchmarks.

Intel spies all over AMD huh. That's a major security breach of company secrets. AMD should look into that.

RE: Intel is out for blood
By Proteusza on 5/16/2007 7:37:38 AM , Rating: 2
As I stated in another thread it was Intel that leaked the Barcelona benchmarks. Intel knows dropping prices before Barcelona is available is thier best way of getting more Intel chips into the channel.

Sounds like a soap opera. Next thing we will hear is that IBM and ATI fathered an illegitimate chilled and named it the XBox 360. Oh wait that was in a previous episode.

Seriously though, thats a little unbelievable that intel would release barcelona benchmarks. Penryn maybe, but release benchmarks for your competitor that seem to show it doing well?

RE: Intel is out for blood
By Polynikes on 5/15/2007 9:57:04 PM , Rating: 2
I hope they can get their XTX out on 65nm with much higher clock speeds or something, because the 2900XT is a huge letdown. :\

RE: Intel is out for blood
By mushi799 on 5/16/2007 7:33:17 AM , Rating: 2
"Intel has learned its lesson"

Intel has being doing this for years, where have you been, nothing new except that core2 has the performance edge.

RE: Intel is out for blood
By CSSaddict on 5/21/2007 1:04:53 PM , Rating: 2
I expected the core 2 duo to be good, but its performance has taken the world by storm. Hopefully AMD can counter it with something, though I doubt that even they were prepared for the c2d, especially after so many years of lacklusture Pentium 4 chips. One thing I find strange is how the CPUs can continually increase in effeciency, whilst graphics cards are reaching the 200 Watt barrier and yet keep going.

Little early to announce these cuts?
By Mitch101 on 5/15/2007 7:11:43 PM , Rating: 2
I would think anyone considering buying a Q6600 or even considered a 6600 dual core will now wait till july when the price drops on the quads.

I think Intel jumped the gun on the price cuts release so much that they should just start reducing the prices now.

By Mitch101 on 5/15/2007 7:14:39 PM , Rating: 2
Intel Core 2 Duo e6600 2.40GHz 1066Hz FSB LGA 775 CPU $235.00 currently.

Wait 2 months and get a quad for nearly the same price. Insane.

RE: Little early to announce these cuts?
By DeepBlue1975 on 5/15/2007 7:38:41 PM , Rating: 2
Maybe they're facing too high a demand and want to "calm down" the stream a bit, so they can stock pile a bit till they slash down their prices.
Even better for Intel, this can stop many possible OEM deals AMD could be trying to cook in the short term and july is right there at the beginning of Q3.

This is not any good for AMD... I also hope it survives, I've been using AMD for years (have an a64 right now), but all I wanna do now is wait for that quad cores to become cheap just to get one in my rig :D

RE: Little early to announce these cuts?
By Mitch101 on 5/15/2007 7:55:07 PM , Rating: 2
AMD in the retail space where most people buy thier chips is where Intel will hurt AMD.

On the server side though AMD will flourish because most corporations dont second guess spending an extra grand when it comes to server performance. AMD will make thier money on the top end but break even on the mid level consumer areas.

Im not sure what Intel is shooting for as this is a double edge sword for them. Yes they win on the price and market share but if AMD is keeping track of Intel pricing tactics to hurt AMD's profit like it will show in court that Intel is abusing its monopoly powers to shut out AMD and stiffle thier innovation R&D dollars. This would also fall into anti-competitive practices. Its pretty definate that AMD's loss on the low because of pricing may cause a judge to increase the lawsuit winnings in the end for AMD. When Intel's lost e-mail it surely was a red flag that the company had much to hide. So much that the fines that will follow for losing the e-mail they must have anticipate as less than if they had retained the messages. This fine should be massive for obstructing justice but even more so if there is any indication of it being done on purpose (As if it wasnt) then jail time can be added to some peoples resumes.

I went through something similar when I worked for Phillip Morris we had to enable 365day email retention on all the servers. Phillip Morris in the USA is considered much more evil then Intel and you could imagine what those fines would have been if they had told a judge well we lost all those e-mails you wanted us to keep.

AMD needs to be around when the lawsuit ends but without a heavy income its hard to tell how well they will be able to compete without R&D dollars.

By stromgald on 5/15/2007 8:11:21 PM , Rating: 2
AMD's lawsuit isn't about pricing tactics. They're accusing Intel of threatening to cut off financial support, technical support, and possibly reduce chip supplies to certain companies unless those companies reduced their consumption of AMD chips.

AMD was actually the one that initiated the current price war because their Athlon X2 chips haven't been able to compete with Core 2 for almost a year now. Intel is continuing the price war because they see Barcelona on the horizon. I doubt the price war could be seriously considered as anti-competitive.

By cochy on 5/16/2007 12:49:50 AM , Rating: 2
Intel is abusing its monopoly powers to shut out AMD and stiffle thier innovation R&D dollars

Intel isn't close to a monopoly. Especially in the server space where these price cuts are mainly aimed. The only thing Intel is guilty of in this case is savvy business tactics and deep pockets. It's no secret AMD over-extended itself in the near term with the ATI purchase. ATI was a long term strategic move for AMD, now Intel is tying to make it hurt a lot short term to lessen the long term gains for AMD. Intel is being very smart lately.

I need help
By GhandiInstinct on 5/15/2007 10:47:16 PM , Rating: 2
ok so 2.4ghz $266, 226 mhz more $200, and then $460 more for 270 mhz more...
if 2.4ghz = $266
HOW CAN 220MHZ = $200?
AND HOW CAN 270MHZ = $460?

RE: I need help
By JeffDM on 5/15/2007 10:54:47 PM , Rating: 2
Maybe they are getting far more 2.4GHz chips than the upper bins? The CPU is only part of the system cost, and if you were spending a few thousand dollars on a server, the $200 price jump would be more than acceptable.

RE: I need help
By nerdye on 5/15/2007 11:49:15 PM , Rating: 2
you're equation is exactly something I have done myself and wondered the same thing. Only if Kentsfield was more equipped for multi processor systems, we would certainly not be seeing such a price range, just as xenons still have a much larger price premium, regardless if fb-dimm is necessary (which is a fading technology it seems). Hyper-Transport 3.0, won't you change the image of architecture? Or will FSB technology remain on top as Intel Up's its core 2 architecture with faster bus speeds, time will tell. Yet competition is good for us all, well that is for us civilized beings that no longer have to fight to the death to find a mate =).

RE: I need help
By cochy on 5/16/2007 12:53:55 AM , Rating: 2
Umm well the top of the line cpu has been massively priced since the Pentium 2 at least. Anyone remember how much the P2 333Mhz was at launch?

RE: I need help
By coldpower27 on 5/21/2007 4:38:05 AM , Rating: 2
The price/performance curve always drops like crazy on the bleeding edge.

By shraz on 5/15/2007 8:48:04 PM , Rating: 2
Q6600 for less than $300? I wonder if Intel will make any profit out of it and is just doing an aggressive pricing against AMD. Very common in airlines.

By ghostbuster on 5/16/2007 12:41:10 AM , Rating: 2
What this article does not mention is that on the same day Intel is introducing a number of FSB-1333 dual-cores, with 3GHz E6850 going for the same $266 as the Q6600 discussed here. Oh man, that's going to be a tough choice, for me at least...

Here's a link with more info:

By the way, Intel keeps their gross margins at ~50%, which in layman's terms means that on average they pocket as profit roughly half of the sale price.

By mino on 5/16/2007 2:54:29 AM , Rating: 2
Gross margin != profit.

By Dactyl on 5/16/2007 5:38:38 AM , Rating: 2
$250 is $50 for the package and $100 per die.

Yeah, I think Intel's making a profit.

Xeon DP vs. Core 2 Quad
By MrBungle on 5/15/2007 9:16:12 PM , Rating: 2
Sorry if this is a dumb question - I'm not that familiar with Xeon.

Given identical FSB speed and L2 cache, what would be the advantage(s) of going with, say, a Xeon DP L5310 (1.60 GHz) over the similarly priced Core 2 Quad Q6600 (2.40 GHz) for a home office workstation? Is it just that the former can be run on a dual-processor/server motherboard?

Also, would the Xeon in the example be less powerful than the Core 2 Duo, or are there additional specs to consider that may affect its processing capability?

RE: Xeon DP vs. Core 2 Quad
By Murst on 5/15/2007 10:41:19 PM , Rating: 2
The Xeons can run in multi-socket configurations, unlike the E6X00. Its the same as the A64s and Opteron chips. The only difference was the ability of the Opterons to run in multi-socket combinations (well, there may have initially been a different RAM requirement, as in registered dimms).

Also, I believe the E6X00 have the virtualization technology disabled, while it is enabled on the Xeons (very possible I'm completely wrong about this!)

RE: Xeon DP vs. Core 2 Quad
By theapparition on 5/16/2007 11:07:34 AM , Rating: 2
Yes, dual vs. single CPU sockets. They have different sockets and are not interchangeable. But the biggest factor is memory. All Xeon processors use FB-DIMM, which is much more expensive. Motherboard selection is also very limited. Unless you really need 2 CPU sockets, there is no reason to take that step.

RE: Xeon DP vs. Core 2 Quad
By MrBungle on 5/16/2007 8:28:25 PM , Rating: 2
Thanks, guys. Sounds like the Xeon is a bad idea for a home workstation - I'll be doing HD video capture/editing and compositing, but probably nothing severe enough that will ever require dual processors - I think 4 cores should be plenty.

This makes me angry
By Domicinator on 5/15/2007 10:46:28 PM , Rating: 2
I waited for the first price drop and then bought my new Q6600 processor. I've had it for three weeks, and now I find out I could have waited another month and gotten the one above it for the same price. Since they originally said the price drop would happen in August, I didn't want to wait that long. (We're having a baby, and I figured I might spend all my computer money on the baby if I didn't act soon.)

On the other hand, I can easily overclock my Q6600 to perform like the Q6700. Also, this is good for competition in the market. So I'm not going to look at these prices anymore. Processors are changing so freakin' fast right now, it's impossible to keep up.

RE: This makes me angry
By nerdye on 5/15/2007 11:40:33 PM , Rating: 2
I understand the frustration that pc hardware has placed on you through its laser quick evolution after having bought recent high end hardware. My 2gb kit of corsiar xms2 with the led lights was 250 on sale at frys in december, now I can get 4gb of it at the same price. My 7950gt was a great deal at 240$ in december (06 of cource), yet now I would love an 8800 gts 320mb instead. Do what you can when you need to upgrade, cause it will never be the right time otherwise! I already want dx10 and ddr2 1066, but I bought what was price performance effective when I bought it and gotta live with it. We have an expensive hobby my friends!

RE: This makes me angry
By redbone75 on 5/16/2007 3:49:49 AM , Rating: 2
(We're having a baby, and I figured I might spend all my computer money on the baby if I didn't act soon.)

Hey, does your wife read Dailytech? If so, your sofa better be real comfortable:p

RE: This makes me angry
By Domicinator on 5/16/2007 7:59:01 PM , Rating: 2
Nope, she stays far away from tech sites!!!

But she's cool with me buying computer stuff. The baby is going to keep us home a lot more now, so her philosophy is that we may as well have stuff to do at home if we're going to be confined there!!

As a refresh: AT's review of the desktop quads
By Puddleglum1 on 5/15/2007 7:41:42 PM , Rating: 3

Purchase a slower quad over a faster dual? For those July 22 prices, I think I'll get a quad.

E6600: $224 PCMark'05: 5849
Q6600: $266 PCMark'05: 7663

19% price increase for 31% performance increase.

RE: As a refresh: AT's review of the desktop quads
By Amiga500 on 5/16/2007 7:07:29 AM , Rating: 2
Depends what you intend to do with it of course.

Run pukka multi-threaded applications, or run current games - the games would benefit more from the dual I think.

By Aikouka on 5/16/2007 8:36:03 AM , Rating: 2
Yes, currently the single-threaded games will benefit really from any multi-core as the extraneous other processes running on a PC can have their time on a core as well (it isn't that simple and it's guaranteed that they will swap cores in the core switch, but for simplicity sake, we'll act like they play nice). What I think this Q6600 is good for is that it offers an advantage for when games really start pushing multiple threads and you still wish to multitask or have the fluidity from the other extraneous tasks running on the PC.

I'm tempted to replace my E6600 and for that price... it makes the deal even nicer.

By gigahertz20 on 5/15/2007 7:20:55 PM , Rating: 2
If they are going to cut the price of a 2.4GHz Quad Core Q6600 to $266 imagine what the price of the 2.4GHz E6600 Core 2 Duo would be...half of that at least, $133 would be awesome.

I'm surprised they can sell a quad core for $266, I thought they were expensive to make, if they truly drop down to $266 count me to buy one of these in September for my new computer build.

I wonder if these price cuts are also a response to maybe their new 45nm Penryn processors coming out July/August as well as trying to hurt AMD.

RE: Christ
By Amiga500 on 5/16/2007 7:06:02 AM , Rating: 2
To clear the inventory before introducing Penryn?

Possible I suppose, but with Penryn being a reasonably straight upgrade of Conroe to 45nm with SSE4 instructions and a couple of other optimisations, would they not keep Conroe on the low end and place Penryn on the high end?

Unless they feel this is the most efficient way to do that...

RE: Christ
By Black69ta on 5/17/2007 12:12:18 AM , Rating: 2
I agree Y would Intel care about what might happen over in the AMD camp? They know about Penryn and have provided "offical" benchmarks for Penryn so they know that in order to compete with their competitor AMD it will still have to be priced competitively which the Conroe already is, So they will drop the Conroe price to flush out the retail channel since it does not appear that they will have any problem refilling it with 1333MHz FSB, >3GHz Penryn Goodness when Intel sees the Phenom hurting its sales then it can respond accordingly but I can't see this move as having anything to do with AMD.

Dumb question...
By HotdogIT on 5/15/2007 8:12:09 PM , Rating: 2
But is there a Q6400 coming out at the July time frame as well?

I remember, vaguely, reading about a 2.13ghz Quad Core called the Q6400, and was able to find one review of it:

The reviewer there doesn't actually have one, he just underclocks a QX6700, but... well, I never heard any other mention of it.

From the article:
Since the Intel Developer Forum revelations, the Core 2 Extreme QX6700. which is the top-end part, has gained a name and the range has already expanded. Aside from the flagship QX6700, which takes over from the X6800 as Intel’s most extreme Extreme, there are already two more versions slated for more modest users, the Q6600 and Q6400, but their official release date, we're told, is Jan. 2007. We got our hands on all of them, and put them up against a variety of pretenders, from Core 2 Duo and Pentium D stable mates to AMD’s current dual-core finest. So read on to see if Intel’s Core 2 Extreme really is the processing powerhouse we were all expecting!

Obviously if they WERE released in Jan. 2007, they never really made it to Newegg, etc.

Either way, 266 is a nice price for a Q6600... but even less for a "Q6400" would be better :D

RE: Dumb question...
By Motley on 5/16/2007 1:50:14 AM , Rating: 2
I think the part was cut from the line up. In August, you can probably pick up the Q6600 for $150 or so. In December, you'll see it for $100-$120.

RE: Dumb question...
By coldpower27 on 5/21/2007 4:42:06 AM , Rating: 2
Doubtful, Intel's prices if there is a listed price for them currently don't deviate to far from the listed price. $266 will hold till Intel officially cuts prices again, that doesn't happen typically for several months, it will also depend if AMD can field a competitor for sub $300 in the Quad Core space.

slow/expencive xeons
By Visual on 5/16/2007 5:54:43 AM , Rating: 2
The clocks on those Xeons are disappointing. I was hoping for some SMP dual-socket quad-core system at comparable clocks to desktop chips. Oh well, maybe with overclocking... now if only server boards weren't such crap for that.

Do you think Intel would launch a dual 755 board that would work with two sweet Q6600? What was that V8 thing they were going to counter AMD's 4x4 with? 771 or 775? And when?

RE: slow/expencive xeons
By Arctcuas on 5/16/2007 8:06:54 AM , Rating: 2
Last year I read somewhere about a Quad core 3GHz Xeon UP, X5240 or X5245 that was coming out. Anyone heard that also?

RE: slow/expencive xeons
By coldpower27 on 5/21/2007 4:50:40 AM , Rating: 2
You always pay a premium per processor on Dual Socket processor compared to the same clocked processor om the desktop. That's the norm, what Intel has done recently was quite rare.

$744 for each Dual Socket capable 2.66GHZ Clovertown compared to each $530 Uni Socket capable 2.66GHZ Kentsfield is not a extremely large premium.

Look at AMD's own line. Opteron 2222 SE Dual Socket is 873 USD compared to the Uni Socket Athlon 64x2 6000+ $241 USD.
Even using Quad FX pricing your still looking at a Athlon FX-74 for $399.5 USD.

By Crazyeyeskillah on 5/15/2007 7:18:30 PM , Rating: 1
God bless you Intel. I will be buying that q6600 and taking it straight up to 3.6ghz on air. Aggressive price cuts like this will make many early adopters out of a technology that would otherwise remain unnecesary. The days of my fx@3ghz is but a distant fond memory. If you can match this performance/oc/price combo amd, i'll gladly take you back ;)

By zornundo on 5/15/2007 9:05:56 PM , Rating: 2
It will be a hard wait to see what barcelona can deliver price/performance wise and what it can do oc-wise. I'm still happy putt-putting around on my s939 x2 4800+ :)

By Jedi2155 on 5/15/2007 10:35:42 PM , Rating: 2
I doubt it could do 3.6 GHz on air.

Here's Hopeing
By Flunk on 5/15/2007 7:25:10 PM , Rating: 2
Let's all cross our fingers that this happens. I've been holding up a new PC build since March because of the possibility of this sort of price cut and I'm sure plenty of you have too.

At this sort of price point for a 2.4ghz Core 2 Quad, you can afford to splerge a bit on the rest of the system.

RE: Here's Hopeing
By cloh2083 on 5/21/2007 12:00:32 AM , Rating: 2
Same here, but then with Penryn and Barcelona coming out soon after, I'm thinking of delaying my new setup til then. Then again, what's not to say that soon after there'll be Nerhalem, Sparta, Troy, Zeus, Rocketman, Tintin? Damn the speed of technology - I could be waiting forever holding off! =P

Drop the $#$@ing Hammer
By Ard on 5/16/2007 12:48:34 AM , Rating: 2
Well, looks like my prayers have been answered. I'll dropping in a shiny new Q6600 into my 680i in two months and taking her straight up to 3GHz. Goddamn, it's a beautiful thing. As to AMD, they better hope Barcelona can actually perform, and perform at a level that matches these prices. If not, it's simply more of the same for them: a day late and a dollar short.

RE: Drop the $#$@ing Hammer
By cochy on 5/16/2007 12:55:25 AM , Rating: 2
I'm sure a boat load of Q6600 will be bought as it's a great deal and a hell of a oc'er. Too much demand might push the price up retail. That or "sold out".

AMD becomes more user friendly
By crystal clear on 5/16/2007 1:22:20 PM , Rating: 1
Part of AMD's strategy in keeping computer makers, and motherboard manufacturers happy is an easy upgrade path to Phenom. .

Phenom dual- and quad-core processors will support AMD's current packet and socket configuration for motherboards, called AM2, along with any chipset currently used with AMD products.

About the same time Phenom ships, AMD will release a new configuration, AM2+, that will contain enhancements specific to the quad-core design, David Schwarzbach, marketing manager for AMD's desktop division, said. The company also will ship a new chipset, called the 790. Enhancements in AM2+ include the ability to allocate power and memory to individual processors, depending on their needs in accomplishing particular tasks.

In upgrading a motherboard for Phenom, however, OEMs or power users will need to upgrade the BIOS (Basic Input/Output System).
AMD is offering what it calls a "hybrid BIOS" that can be used with AMD Athlon and Phenom.

This is expected to be the option most companies use.

A BIOS specific for Phenom will be released with AM2+ configurations, along with a new motherboard reference design, codenamed Wahoo.

Improvements in Phenom in comparison to older AMD chips include a doubling of the floating point unit to 128 bits, and a shared L3 cache reserve, which means it can be used dynamically be each of the cores.

AMD currently offers a socket platform called QuadFX for inserting two duo-core chips on a motherboard.
The platform, as part of AMD's easy upgrade strategy, also will support two quad-core chips.
AMD plans to ship a socket platform specific to Phenom, codenamed FASN8, which will ship at the same time as AM2+.


1) AMD appears to have done a lot of talking with OEMs/ODMs/Vendors/etc & ofcourse the USERS/Buyers.
The purpose being to exactly define their requirements.
Based on these discussion it has planned/developed its stratergies.

2)Intel with its price cuts stratergy will ofcourse succeed in the short term.
AMD uses a different approach-they concentrate on the whole package,its more comprehensive/effective in the long term..

3)The UPGRADE path with AMD is cost effective/easy/practical
& ofcourse flexible.

4)Its ultimately the buyers that will decide what good for them.
The best statergy for the buyers would be "to wait it out"
dont upgrade now & dont rush.

By crystal clear on 5/17/2007 8:55:27 AM , Rating: 1
This just to back up what I was talking about-now here straight from the SOURCE-

Let customer transitions, not technology, drive your roadmaps: Q&A with Patrick Patla, director, server/workstation division of AMD (part 1)

During the recent introduction of AMD's new Quad-Core Opteron (Barcelona) series CPUs for the server market, Patrick Patla, director, server/workstation division of AMD sat down with Digitimes to give an exclusive interview covering AMD's progress in the server market, its strategy to deliver platform longevity, and the company's views over future developments in server technologies.

Also present from AMD were Steve Demski, product manager, server/workstation marketing and Mario Cooper, division manager, server/workstation technology enabling and infrastructure development

RE: AMD becomes more user friendly
By Ratwar on 5/19/2007 7:28:00 PM , Rating: 2
Intel with its price cuts stratergy will ofcourse succeed in the short term. AMD uses a different approach-they concentrate on the whole package,its more comprehensive/effective in the long term..

Ummm... no... Intel is the company that focuses on the whole package. Probably the most successful consumer 'package' has been Intel's Centrino. Intel has been concentrating on the whole picture for a few years, while AMD only now starting to enter that field.

Intel Readies 5 new Core 2 Duos
By gyranthir on 5/21/2007 10:14:57 AM , Rating: 2

For those of you looking for deals on an Intel based computer build, here is some information on CPU pricing Intel plans to implement on July 22:

Model------Core-----Speed (GHz)--FSB (MHz)----L2-----Cores--Price (Jul22)
Q6700--Kentsfield----------2.66----------1066---- --4MBx2-----4--------$530
Q6600--Kentsfield----------2.40----------1066---- --4MBx2-----4--------$266
E6850-----Conroe----------3.00----------1333----- -4MB--------2--------$266
E6750-----Conroe----------2.66----------1333----- -4MB--------2--------$183
E6550-----Conroe----------2.33----------1333----- -4MB--------2--------$163
E6540-----Conroe----------2.33----------1333----- -4MB--------2--------$163
E4500-----Conroe----------2.22-----------800----- -2MB--------2--------$133
E4400-----Conroe----------2.00-----------800----- -2MB--------2--------$113

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