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do we think Intel will drastically drop prices on middle and high end chips?
by solotronics 10y ago
do we think Intel will drastically drop prices on middle and high end chips?
- emn13 10y agoMy guess: Not right away. It's going to take a while for AMD to gain trust; and if intel massively drops prices that will if anything accelerate that effect. A dramatic price drop would tell your clients that you indeed gouged them and that AMD's chip is a serious competitor. I'd expect them to make token gestures in MSRP and quietly make larger drops in practice; and to accelerate new models so it appears as if those new models are better price/perf wise due to their great new design. Oh and of course, intel's 7700k is still quite a bit faster per-core, and there's AVX, so intel can play those cards loudly. I'd argue that even today almost all people are best served by a few fast cores than many slightly slower ones; there;s just so much poorly scaling software around. And where multicore works really well trivial the GPU is often just around the corner... For servers the story may be different.
- usrusr 10y agoThe capitalist playbook suggests that street prices won't see the same price drop as important OEMs threatening to launch a big AMD line. That way, Intel sells to those OEMs not only the hardware but also the promise that end customers will think that the parts were more expensive.
- rasz_pl 10y agoThey might play dirty games instead (again). Intel loves incentivising its distributors with bonuses and deal combos. Sell top Intel CPU + expensive motherboard with top Intel chipset = receive free Intel SSD etc. Of course distributors are free to do what they like with those rewards, consumers almost never even know about it = bigger hidden margins for pushing hiend models.