X-no-Archive:yes
In actuality the prices of the Intel (and other) processors have fallen
faster and lower than most pundits have predicted.  When the 400MHz Pentium
II on the BX chipset was released recently, I was amazed at how inexpensive
the systems were.  They were less expensive than when the 333MHz on the LX
chipset was released just 6 months before.  The Pentium II 400 retails for
about $700-$800 and the 333 is about $400-$550.  A few months back the were
closer to $1000.  The Pentium Pro 200 is advertised at $550 to $950, as you
can see the P-PRO has kept its value.

The Xeon, which will fit in Slot 2, is aimed at mid-range to high-end
workstations and servers.  I doubt it will cost $4,500. I expect the
starting price to be closer to $2,000, making an 8-way processor about
$12,000 more than a Pentium Pro 8-way.

We shall see.

Kind regards,

Denys. . .

Denys Beauchemin
HICOMP America, Inc.
(800) 323-8863  (281) 288-7438         Fax: (281) 355-6879
denys at hicomp.com                             www.hicomp.com


-----Original Message-----
From:   toback2 [SMTP:[log in to unmask]]
Sent:   Monday, 22 June, 1998 3:15 PM
To:     [log in to unmask]
Subject:        Good news on PC-based server pricing

There's an item in the current issue of InfoWorld (June 22, 1998) that
should make HP 3000 users breathe a bit easier if it holds true. Noting
that the price of a 400MHz Intel Xeon processor with 2MB of L2 cache will
be about $4,500, writer David Pendery states that an "eight-way Xeon
server..., which will be seen by the end of 1998 and early 1999, could
cost $40,000 more than a Pentium Pro 8-way server costs today."

No more having to explain why an HP 3000 costs more than a Wintel server.
This seems like a good thing.

-- Bruce


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