UK supermarket chains are promising some real festive cheer for consumers with rock bottom price tags on PCs.
Asda has just began selling an Internet ready PC for #499. Last year, a similar PC would have cost around #1,000. Analysts are expecting other high street names to follow the PC price cutting trend.
Asda?s multimedia PC, built around a an IBM Cyrix 233 chip, is being sold at 28 of the supermarket?s stores in the south east and 20 larger hypermarkets in the rest of England.
Asda's home and leisure director, Sione Rees-Thomas, said: "For too long, traditional PC retailers have been more concerned with their own profit margins rather than giving customers the best deal."
?Our move will undoubtedly force others to follow our lead and make the latest computer technology affordable to all."
Asda?s Internet PC comes configured with 32Mbytes of memory, 2.1Gbytes hard disk, 56Kbps built-in modem, and a 14-inch SVGA monitor, speakers, and Windows 98 preinstalled. The PCs are being manufactured in the UK at Future Solutions and will carry Asda's ESP brand. All systems will come with a one-year guarantee.
Sources close to Asda claim that, if PC sales go well, it will expand the range on offer in the new year.
PC prices are now tumbling, thanks to a strong pound that has made imports cheaper and slowed demand. Asda is not the only supermarket chain to take advantage of this situation. Tesco is selling a Siemans 300MHz Pentium PC at #699.99 and a Fujitsu Pentium II 350MHz PC at #899.99.
High street electrical store Dixons has responded to the supermarket PC pricing flurry by slashing its lowest priced PC to #499.
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