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January 8, 1987

IBM PREPARES FOR NEW LINE WITH 286 CUTS

By CBR Staff Writer

IBM normal business reviews have a way of taking into account up-coming developments that are intended to be known only to the company, so everyone will assume that a string of price cuts on its 80286-based Personals that result from such a review in the US heralds the anticipated new low-end 80286 machine with small footprint, VLSI motherboard with on-board graphics and 3.5 disks. Affected are the 20Mb model of the 8088 XT, the XT 286, and the base model AT. The XT 286 with 640Kb CPU, 1.2Mb floppy, 20Mb hard disk, enhanced keyboard and serial/parallel adaptor is reduced 15% to $3,295, which implies a street price of around $2,800. The moribund 8088-based XT Model 089 with 640Kb, 360Kb floppy and 20Mb disk, asynchronous communications adaptor and the better keyboard falls 8.1% to $2,665. The entry AT 068 with 256Kb CPU and 1.2Mb floppy falls 15% to $3,395.

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