2007 CPU Price War

[JackPack]

Originally posted by: keysplayr2003
Is this supposed to happen sometime in April???? I probably overlooked any dates. AWESOME pricing. I was waiting for these price cuts to build new riggage.

Q3

 

[Bateluer]

I wonder if Intel is bleeding money with these price cuts too. I understand that they can afford to bleed money though, just curious as too how much.

 

[Regs]

Originally posted by: BitByBit
The price cuts seem to coincide with Barcelona's release, so perhaps Intel is privy to some figures? Then again, it could simply be a case of taking away some of the limelight surrounding Barcelona on its release. Either way, a quad for around the price of E6600 today is going to be too tempting for most.

I don't think Intel really cares at this point. All they know is that its AMD's new offering and they pretty much want to cover it in dust with prices.. Now only if DRAM followed suite. 220 dollars for what Vista requires is absorbed.

 

[Zap]

Originally posted by: Bateluer
I wonder if Intel is bleeding money with these price cuts too. I understand that they can afford to bleed money though, just curious as too how much.

Well, CPUs don't cost too much to actually manufacture, but investments in the fabs and development costs (among other costs) increase the "true" price of chips. However, as long as the ASP (Average Selling Price) stays higher than the "true" price, then no problem. I don't know what those numbers are, but Intel's ASP isn't too bad since it probably isn't lower than the cost of an E6300 ($183) while AMD's is probably closer to $100.

I'm just pulling those numbers out of my ass, so don't quote me on them.

 

[happy medium]

Now it's worth it for me to switch from my Agp system to quad core. When these price drops happen. So far in the past year I haven't seen a game that required a duel core cpu,new ram ,motherboard,operating system. Now it's time!

 

[mushroom3]

are these for certain? it seems so soon when, is it still worth it to buy at the april 22 price cut?

 

[NoobyDoo]

There's a English follow up article at the same site here. Diff to understand but :

... As to against its rival AMD?s new processors effectively, Intel has painfully given up the release of Core 2 Quad Q6400 (2.13GHz/4MB L2 x 2/1066MHz FSB) in Q3 ... Another point that should deserve our attention is that Intel would no longer release any Dual-Core Intel Core 2 Extreme edition ...

 

[Diogenes2]

Those prices are for a thousand units.. ( wholesale ) .. So expect to pay a little more if you aren't going to be buying a thousand ..

 

[Dacalo]

At that price, I will ditch my 4400+ in a heart beat.

 

[TBSN]

Like a few people have already been saying, these are the prices per 1000 units, meaning that distributors like Newegg are the ones who are going to be buying them at this price. Then for retail and single OEM buying the price will be higher, but possibly cheaper than what the prices are now...

 

[coldpower27]

Originally posted by: TBSN
Like a few people have already been saying, these are the prices per 1000 units, meaning that distributors like Newegg are the ones who are going to be buying them at this price. Then for retail and single OEM buying the price will be higher, but possibly cheaper than what the prices are now...

Pretty much guaranteed to be cheaper to what we have now. The E6700 will be 183USD at this time, the E6700 official price is 530USD now. Newegg won't be able to gouge very much on a mainstream level that has already been in the channel so long.

 

[Conky]

I really want a quad core Intel chip. Don't need it but I want it.

 

[TBSN]

Originally posted by: coldpower27

Originally posted by: TBSN
Like a few people have already been saying, these are the prices per 1000 units, meaning that distributors like Newegg are the ones who are going to be buying them at this price. Then for retail and single OEM buying the price will be higher, but possibly cheaper than what the prices are now...

Pretty much guaranteed to be cheaper to what we have now. The E6700 will be 183USD at this time, the E6700 official price is 530USD now. Newegg won't be able to gouge very much on a mainstream level that has already been in the channel so long.

Yeah, I agree it will be cheaper, but by how much? If the price of an E6700 is $530, then what do you think the distributors buy it at, $300, $350? I don't know how much the markup is, but obviously there is one when a distributor sells products, even if they are OEM or discounted. What I'm saying is that if the price for a CPU is $180 for the distributor (for buying in quantity, like Dell, or even Newegg to a lesser extent), then we can expect a higher price than that, depending on how much they usually mark-up the CPUs for resale.

So we would need to see how much the distributors are paying now for the parts that are selling at $530, for example, and we'll be able to tell how much we are actually going to be paying for the newly-priced parts...

I hope I'm being clear...

 

[coldpower27]

Originally posted by: TBSN

Originally posted by: coldpower27

Originally posted by: TBSN
Like a few people have already been saying, these are the prices per 1000 units, meaning that distributors like Newegg are the ones who are going to be buying them at this price. Then for retail and single OEM buying the price will be higher, but possibly cheaper than what the prices are now...

Pretty much guaranteed to be cheaper to what we have now. The E6700 will be 183USD at this time, the E6700 official price is 530USD now. Newegg won't be able to gouge very much on a mainstream level that has already been in the channel so long.

Yeah, I agree it will be cheaper, but by how much? If the price of an E6700 is $530, then what do you think the distributors buy it at, $300, $350? I don't know how much the markup is, but obviously there is one when a distributor sells products, even if they are OEM or discounted. What I'm saying is that if the price for a CPU is $180 for the distributor (for buying in quantity, like Dell, or even Newegg to a lesser extent), then we can expect a higher price than that, depending on how much they usually mark-up the CPUs for resale.

So we would need to see how much the distributors are paying now for the parts that are selling at $530, for example, and we'll be able to tell how much we are actually going to be paying for the newly-priced parts...

I hope I'm being clear...

The point I am trying to make is that on parts price at this level, the retail markup won't be significant enough to make a impact compared to what we have now.

The most you could possibly expect on a markup at this level is maybe $40 USD, and that is if supplies are tight, which would likely be severely unlikely as the E6700 would have been in the channel for over a year by then.

The online retailers probably buy enough that they could negotiate some sort of discount from Intel.

These are very severe price drops and considering the drops I expect the E6700 to be ~60% cheaper then it is now compared to the official $530USD price.

Look at the E6300 at $183, even when it was beginning it's introduction I don't believe it was ever for any significant period of time higher then possible $230.

So I re-iterate, the retail markup while there might likely be one initially won't be significant enough to make a severe impact and would most likely be acceptable at worst to negligible at best.

 

[GEOrifle]

Here is the price list for April 22 2007 :

Posted by Hilbert Hagedoorn on March 12, 2007 - 7:51 PM


Last week we already reported that Intel is planning a very aggressive strategy processor wise and .. money wise. I had a little more time to analyze the data as presented at HKEPC and placed it into a chart. Prepare to be amazed .. So we already knew that at the 22nd of April a new price policy will be enabled. The drop in prices will be significant and we'll see the introduction of 1333 MHz FSB based processors.

According to the data at HKEPC you'll notice that Quad core will become completely mainstream. Core 2 Quad Q600 (2,4 GHz) for example right now costs 851 USD while in April that price will be 530 USD and in the 2nd half of this year .. merely 266 USD. The 2,66 GHz C2Q which costs 999 USD right now will get a price tag of 530 USD and will clear it's space for a new 2,93 GHz model.

Dual-core processors then .. they are getting dirt cheap. The 999 USD 2,93 GHz Q6800 for example costs 999 USD but if you check the chart .. a 3 GHz dual-core CPU with that new 1333 MHz FSB will cost merely 266 USD and is an E6600 on the (4x333) thus 1333 FSB. That's processor will perform faster than the current X6800.

Then the 2,66 GHz E6700; in April it'll drop to 316 USD (current E6600 price level) and after the second half of the year ... 183 USD.

Now the source is quite reputable when it comes to this data .. it sounds almost to good to be true yet in all honesty .. this is quite possible. We'll wait and see; but it's going to be an interesting year for sure.

Have a look at this chart and be amazed.

Model Cores Clock Bus Cache TDP Now April H2
C2E QX6800 4 2,93GHz 1066MHz 2x4MB 130W - - $999
C2E QX6700 4 2,66GHz 1066MHz 2x4MB 130W $999 ? -
C2Q Q6700 4 2,66GHz 1066MHz 2x4MB 105W - - $530
C2Q Q6600 4 2,4GHz 1066MHz 2x4MB 105W $851 $530 $266

C2D E6850 2 3,0GHz 1333MHz 4MB 65W - - $266
C2E X6800 2 2,93GHz 1066MHz 4MB 75W $999 ? -
C2D E6750 2 2,66GHz 1333MHz 4MB 65W - - $183
C2D E6700 2 2,66GHz 1066MHz 4MB 65W $530 $316 ?
C2D E6600 2 2,4GHz 1066MHz 4MB 65W $316 $244 ?
C2D E6550 2 2,33GHz 1333MHz 4MB 65W - - $163
C2D E6420 2 2,13GHz 1066MHz 4MB 65W - $183 ?
C2D E6400 2 2,13GHz 1066MHz 2MB 65W $244 ? ?
C2D E6320 2 1,86GHz 1066MHz 4MB 65W - $163 ?
C2D E6300 2 1,86GHz 1066MHz 2MB 65W $183 ? ?

C2D E4400 2 2,0GHz 800MHz 2MB 65W - $133 ?
C2D E4300 2 1,8GHz 800MHz 2MB 65W $163 $113 ?

Pentium E2160 2 1,8GHz 800MHz 1MB 65W - - $84
Pentium E2140 2 1,6GHz 800MHz 1MB 65W - - $74

Celeron 440 1 2,0GHz 800MHz 512KB 65W - - $59
Celeron 430 1 1,8GHz 800MHz 512KB 65W - - $49


Source: HKEPC


http://www.guru3d.com/news.html

 

[aka1nas]

That Q6600 looks like a sweet price point. I doubt it will be a great OCer with so many speed grades above it and being on .65nm still, though.

 

[RallyMaster]

die AMD, die! you shall pay for buying ATi and betraying us NVIDIA users!!

 

[imported_UncivilizedAMD]

Originally posted by: TBSN

Originally posted by: coldpower27

Originally posted by: TBSN
Like a few people have already been saying, these are the prices per 1000 units, meaning that distributors like Newegg are the ones who are going to be buying them at this price. Then for retail and single OEM buying the price will be higher, but possibly cheaper than what the prices are now...

Pretty much guaranteed to be cheaper to what we have now. The E6700 will be 183USD at this time, the E6700 official price is 530USD now. Newegg won't be able to gouge very much on a mainstream level that has already been in the channel so long.

Yeah, I agree it will be cheaper, but by how much? If the price of an E6700 is $530, then what do you think the distributors buy it at, $300, $350? I don't know how much the markup is, but obviously there is one when a distributor sells products, even if they are OEM or discounted. What I'm saying is that if the price for a CPU is $180 for the distributor (for buying in quantity, like Dell, or even Newegg to a lesser extent), then we can expect a higher price than that, depending on how much they usually mark-up the CPUs for resale.

So we would need to see how much the distributors are paying now for the parts that are selling at $530, for example, and we'll be able to tell how much we are actually going to be paying for the newly-priced parts...

I hope I'm being clear...

http://www.extremetech.com/article2/0,1...989159,00.asp?kc=ETRSS02129TX1K0000532

Article discusses pricing at the 1000 qty level and the retail pricing that followed. During the first month after C2D release, newegg and some other retailers did mark up the prices as high as about 400 for the E6600,and 225 for the E6300 IIRC but thats because the C2d were in high demand and short supply. Within 2 months or by about October, prices dropped back to near distributor pricing roughly 20 dollars more. If you followed the price drops with the Pentium 4/Ds and the X2s last year, then you would have noticed that when those charts were released, the retail pricing that followed was very near distributor pricing as well. If history holds true, we can expect the retail prices of the parts being discounted in 2H 2007 to be near distributor pricing since these parts are not in short supply as when the C2D lineup was released last year.

 

[BladeVenom]

Originally posted by: RallyMaster
die AMD, die! you shall pay for buying ATi and betraying us NVIDIA users!!

They bought ATI so they could have their own chip sets and integrated graphics to compete against Intel. It wasn't done against you personally. Have you ever considered electro shock therapy?

 

[myocardia]

Originally posted by: aka1nas
That Q6600 looks like a sweet price point. I doubt it will be a great OCer with so many speed grades above it and being on .65nm still, though.

You do realize that every one of the current E4xxx and E6xxx chips are already at 65nm, don't you? And that the lowest speed 6xxx chip, the 6300, is regularly (with an experienced overclocker, good RAM, and good motherboard) reaching upwards of 100% overclocks? I'll guarantee you right now that the Q6600 won't have any problems reaching ~3 Ghz, in the right person's hands, if not significantly higher.

 

[aka1nas]

The current crop of Kentsfields aren't doing much higher than 3Ghz on air. Things aren't going to get better if they have a midrange SKU to bin down to (except that maybe people buying the higher end models will have a slightly better chance of picking a winner). Coming from my current setup, 3Ghz on a C2d isn't all that interesting of a jump.

I'm waiting for something that has a chance of hitting 4Ghz on air before I upgrade, so I am probably at least waiting for Penryn (I can't really justify the cost of a full platform upgrade unless my single-core performance is going to double).

 

[A554SS1N]

Originally posted by: RallyMaster
die AMD, die! you shall pay for buying ATi and betraying us NVIDIA users!!

Hehe, I assume you're just having a joke (not like the other guy taking it all seriously).

I'm an NVidia user as of the moment, but I don't see AMD as "betraying" anyone - in fact I'll be quite interested in their GPU/CPU solutions with ATi's involvement in the future. Hopefully they'll produce something mega in the low-cost sector for all the cheapo PC users!

 

[Hyperlite]

Originally posted by: NoobyDoo
There's a English follow up article at the same site here. Diff to understand but :

... As to against its rival AMD?s new processors effectively, Intel has painfully given up the release of Core 2 Quad Q6400 (2.13GHz/4MB L2 x 2/1066MHz FSB) in Q3 ... Another point that should deserve our attention is that Intel would no longer release any Dual-Core Intel Core 2 Extreme edition ...

so according to that there WILL be an even CHEAPER quad part! oh boy...that will be awesome...

 

[ahmurat]

Originally posted by: swtethan
well I bought a p5b deluxe wifi today, and it does support quad core next chip here i come!

I bought the exact same motherboard last week with an E6400. Now i'm concerned about the 1333MHz FSB support for future CPUs. I read somewhere that this is done with a recent bios update on the asus motherboards. Is that correct?

 

[coldpower27]

Originally posted by: Hyperlite

Originally posted by: NoobyDoo
There's a English follow up article at the same site here. Diff to understand but :

... As to against its rival AMD?s new processors effectively, Intel has painfully given up the release of Core 2 Quad Q6400 (2.13GHz/4MB L2 x 2/1066MHz FSB) in Q3 ... Another point that should deserve our attention is that Intel would no longer release any Dual-Core Intel Core 2 Extreme edition ...

so according to that there WILL be an even CHEAPER quad part! oh boy...that will be awesome...

"In the existing plan of price update for Q2, Intel Core 2 Quad Q6600 has already experienced a large cut from $851 per 1,000 units shipped to $530 on April 22. As to against its rival AMD?s new processors effectively, Intel has painfully given up the release of Core 2 Quad Q6400 (2.13GHz/4MB L2 x 2/1066MHz FSB) in Q3. Instead, the company decided to make another cut to Core 2 Quad Q6600, where its price would be as low as $266 per 1,000 units shipped. Meaning this new processor would experience a 68.7% accumulative cut of price since its release in March."

The Q6400 has been stillborn, and has been replaced by price cutting the Q6600 instead, just like the E4200 which was replaced before it was ever released by the E4300.