| Taiwan PC Makers Cut Prices in Response to Intel's Move
June 5, 1998 (TAIPEI) -- Intel Corp. notified its Taiwan OEM partners that
as of June 7 it will lower the prices of its desktop microprocessors by an
average of 30 percent and that the price of the Celeron, which is designed
for low-end PCs, will be cut by as much as 53 percent.
|Industry observers say that in the midst of a sluggish PC market Intel's
move will fuel an already intense price war.
Intel is cutting the price of its 266MHz Pentium II microprocessor from
US$295 to US$195, for a reduction of more than 30 percent. The price of the
266MHz Celeron microprocessor will fall from US$154 to US$101. The 300MHz
Celeron will be priced at around US$155 after the reduction, while the
200MHz Pentium MMX will be priced at about US$95.
In response to Intel's announcement, local PC makers, including Leo Systems
(an affiliate of First International Computer Inc.), Acer Sertek Inc., Mitac
International Corp., and Synnex Technology International Corp., are reducing
the prices of their PCs. On average, the price of a desktop computer with a
266MHz Pentium II microprocessor is expected to fall by around NT$2,500 to
Chang Chao-shen, general manager of Leo Systems, said that as of June 10 Leo
plans to slash the price of its 233MHz Pentium II desktop model from the
current level of NT$41,900. Following the reduction, the price will be in
the range of NT$39,900 to NT$40,900, depending on the exchange rate of the
NT dollar, Chang added.
(Commercial Times, Taiwan)