Advanced Micro Devices (AMD), rival to Intel in the mainstream processor unit, has almost halved the prices on its higher end chips after Intel launched its
Pentium 4 at 2GHz
yesterday.
AMD`s Athlon 1.4GHz price has been reduced by 49% to a list price of $130, or R1 080 at the current exchange rate, to be just less than R25 cheaper than the equivalent Intel processor.
The 1.3GHz Athlon is to cost $125, a 46% reduction and $8 less than the equivalent from Intel.
Those happy with lesser clock speeds can now get a 1GHz AMD processor for less than R1 000, although the Intel 1GHz chips have not been reduced in price and come in significantly more expensive.
Intel yesterday announced price cuts of up to 54% as it reached the 2GHz milestone.
AMD says its new pricing structure will be applied straight away and the local channel can order chips at the new prices immediately.
The company is downplaying the significance of Intel`s 2GHz launch, saying buyers are now aware of the "megahertz myth" and realise that clockspeed is not always directly related to performance.
"We will not be escalating the megahertz race," says local AMD representative Alex Mann. "Buyers these days do a bit of reading and research and are faced with a lot of information showing that our chips can outperform higher-clocked processors from our rivals."
AMD claimed victory in the race to launch a 1GHz processor in March last year.

