Intel has informed its OEMs that its planned November round of price cuts will average 15 per cent, according to US reports.
The reductions will cut deepest into MMX-based processors and will follow the cuts to be made on 28 July, which will also be greatest for MMX products. The aim is to position Pentium/MMX as the entry level and consumer oriented processor for PC makers.
An Intel spokesperson said a small improvement in the production process had allowed them to get a higher yield from Pentium MMX processors, giving them some leeway for price cuts. Before the end of the year Pentium II processors would also be introduced into the consumer market, he said.
Within the next two months Intel is also going to announce the first processor chips produced with the new process at 0.25 microns (see earlier story). These will be Pentium MMX chips aimed at the mobile sector because of their small size and resulting reduced heat. Currently processors are produced at 0.35 microns.
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