Digital Equipment will this month reveal plans to target competitors such as Compaq and Dell with large price cuts and new models in its Alpha server range.
Analysts have been suggesting the company may bring in cuts of up to 50 per cent on its low end server models by 27 January, with lesser cuts further up the range.
Under strong pressure from its Intel-based competitors Digital wants to take a more aggressive stance with its Alpha technology in the low and midrange markets. It will streamline the Prioris and Alphaserver models into a single range that will be rack-mountable and run Windows NT only.
The company will continue to offer server ranges specifically for Alpha-designed applications, which are not expected to receive such significant price cuts and thereby retain an alternative Alpha offering for the higher end market.
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