Intel cut desktop CPU prices

Intel has announced that prices for select desktop processors went down a notch ahead of the back-to-school season (PC makers are building the products now). Many types of CPUs (Quad-core, dual-core, Celeron, Xeon) are affected by the cut, that range from 11% to 20%.

Intel routinely cut prices of existing processors as part of its standard business practices. As it introduces new models, older ones see their price go down and the very low end products disappear. Intel does that to maintain the average selling price (ASP) as much as possible, even if ASP for CPUs have had a tendency to go lower in recent years. So far, Intel has been able to offset the lower ASP with higher volumes, thanks to products like the Atom processor.