Updated As expected, Intel has dropped prices on a range of its microprocessors and has notified its distributors and dealers.
The 1GHz Pentium III in flip chip packaging has dropped by nearly a third to around $666, a clear response to drastic price action AMD took earlier this month.
The prices quoted below are boxed processor prices -- tray prices (in 1,000s) will differ.
The Pentium III 700 now costs around $205, the 733 is the same, meaning the 700MHz part is leaving stage left. The 750 now costs $250, the 800 $265 (for both 100MHz and 133MHz system bus versions.
The Pentium III 850MHz now costs $365, the 866MHz $370, and the Pentium III 933MHz around $530.
Boxed Celeron 600s now cost $95, while the 633MHz part is priced at around $100. The Celeron 666 now costs around $125 while the 700MHz Celeron is $145. However, distributors have little stock of these parts.
Dealers report that rather than individually drop the 1GHz Pentium III, distributors are offering a package including VC 820 motherboard, 256Mb of RDRAM RIMM and Pentium III.
Prices on certain Pentium III Xeon processors have also fallen. ®