As expected, Intel Corp., the world’s biggest supplier of x86 microprocessors, has significantly decreased pricing of its desktop central processing units along with the launch of the new Intel Core 2 processors. The price slash will help Intel to quickly get rid of the outdated processors and attack the market with offerings based on the new micro-architecture.

The most noticeable price drops apply to dual-core Intel Pentium D processors, even though, only 5 models out of 11 offered experienced price decrease. Paradoxically, but the most expensive Intel Pentium D processor is the Pentium D 840 (3.20GHz, 2MB cache [1MB per core]) that costs $423. At the same time, Intel sells top-of-the-line Pentium D 960 (3.60GHz, 4MB cache [2MB per core]) and Pentium D 830 3.00GHz, 2MB cache [1MB per core]) for the same price of $316. Apart from the Pentium D model 950, the dual-core chips based on the NetBurst architecture cost less than $200 in 1000-unit quantities.

The chipmaker also lowered the prices on its single-core Pentium 4 processors, although, the high-end chips, such as $605 Intel Pentium 4 670 (3.80GHz, 2MB cache) – which is outperformed across the board by the Core 2 Duo E6700 that costs $530 – still cost quite a lot. Nevertheless, Intel dropped the prices on the entry-level Pentium 4 chips to less than $100, targeting the markets of Intel Celeron-series processors. For instance, Intel Pentium 4 541 (3.20GHz, 1MB cache, 800MHz bus), 531 (3.00GHz, 1MB cache, 800MHz bus) and 524 (3.06GHz, 1MB cache, 533MHz bus) cost $84, $74 and $69 respectively.

Meanwhile, Intel Celeron D processors pricing was decreased by 8% to 19% - the lowest end Celeron D 315 now costs $34, while the fastest model 356 is priced at $74.

Intel does not release official statements concerning price drops, but quietly updates price list on its web-site for investors.