In what is now seems a regular occurrence, Compaq Computer Corp has announced another round of price cuts that will see reductions of up to 18% on five of its server models sold in the US. A 6% reduction has been applied to the ProLiant 600 which will now sell for $10,170; the ProLiant 200, 800 and 850R have all received 10% cuts; while the ProLiant 2500 will now sell for $4,650, following cuts of 18%. Compaq announced price cuts on its Presario personal computers by up to 25% in the US last week (CI No 3,286). Back in July, Compaq chief executive officer denied the company had started what would lead to a price war among PC makers (CI No 3,201). The server cuts seem designed to intensify the pressure on vendors of RISC-based servers, already more expensive than their Intel-based competitors.
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