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Intel confirmed our speculation regarding Xeon CPUs’ price drop early this week by reducing the prices on its CPUs for 2P servers and workstations. On average, Xeon processors’ prices declined by about one-third and that can be considered as substantial adjustment. From now pricing of Intel Xeon processors for DP configurations looks as follows:

Intel Xeon Processors Current  Official Pricing

Model

Current Price

Price Drop

Xeon 3.06GHz 1M (533MHz PSB)

$690

-

Xeon 3.06GHz (533MHz PSB)

$455

34%

Xeon 3.00GHz (400MHz PSB)

$433

34%

Xeon 2.80GHz (533MHz PSB)

$316

31%

Xeon 2.80GHz (400MHz PSB)

$294

32%

Xeon 2.66GHz (533MHz PSB)

$256

10%

Xeon 2.60GHz (400MHz PSB)

$234

14%

Xeon 2.40GHz (533MHz PSB)

$209

-

Xeon 2.40GHz (400MHz PSB)

$198

-

Xeon 2.20GHz (400MHz PSB)

$198

-

Xeon 2.00GHz (400MHz PSB)

$198

-

Xeon 2.00GHz (400MHz PSB)

$188

-

Xeon 1.80GHz (400MHz PSB)

$156

-

Expect AMD to react on Intel's price drop very soon by declining the prices on AMD Opteron and AMD Athlon MP processors for server and workstation applications.

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