Intel on Monday announced price cuts across a wide range of chips used in mobile and desktop PCs, including cuts of up to 40 percent for its quad-core chips.
Intel's Core 2 Quad Q9650 processors are now priced at $316, a 40 per cent drop from December. Other Core 2 Quad chip prices were cut between 16 per cent and 20 per cent.
The quad-core chips are used in high-end desktops like gaming systems.
Intel's move could be a response to increasing price pressure exerted by rival Advanced Micro Devices, which recently announced the Phenom II quad-core chips for high-end desktops.
AMD has priced its Phenom II quad-core chips between $235 and $275.
Intel also cut prices of its Xeon chips for servers and Celeron processors for mobile devices by up to 48 per cent.
The quad-core Xeon 3370 is now priced at $316, a 40 per cent drop from December, while the Celeron 570 chip was cut by 48 per cent from $134 to $70.
Amid the price drops, Intel also introduced three power-efficient quad-core chips with the "s" moniker. The Core 2 Quad Q9550s processor includes 12MB of L2 cache, runs at 2.83GHz and draws 65 watts of power.
The chips are priced at $369. The chip is power-efficient version of the Core 2 Quad Q9550 chip, which draws 95 watts of power.
Intel also introduced the Core 2 Quad Q9400s processor, which runs at 2.66GHz, and the Core 2 Quad Q8200s, which runs at 2.33GHz. This chips are priced at $320 and $245 respectively.
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