The launch of 65nm CPUs translates into cheaper PCs

Dec 11, 2006 10:34 GMT  ·  By

I don?t really know why every time AMD launches a new product, it immediately cheapens all the products based on the old line. But I like it. And let me tell you that this is no mistake and also not an old idea. It has more or less to do with INTEL?s CPUs which are more capable when it comes to same clock performance. And to make things even worse, INTEL applies the same strategy whenever it can especially when regarding its old NetBurst line.

To clear things up a bit, FX-60 (which is not supported on AMD?s site anymore) dropped $80 from last week's price of $586 to $506, a 14% decrease and an absolute record for a high-end CPU. The 4600+ and 4200+ also dropped to the lowest price we've seen in the past months, the 4600+ fell $11 from $251 to $240 while the 4200+ dropped but by an insignificant percent. Additionally, the 3800+ fell a whopping 22% which translates into a $45 drop from $201 to $156. The message seems to be clear here: it doesn?t matter if it?s energy efficient or not, nor does it matter if it?s built under the 65nm or the 90nm process. The only thing that counts is that if it?s cheaper, it sells.

On the other hand the 5000+ model took an opposite turned and gained $71, climbing 22% from $322 to $393 which is the highest price of this CPU from October. And this is not a mistake nor is it strictly manufacturer related since the 5000+ is quite a performer, especially against cheaper Core 2 Duo. And performance always translates into demand so it?s quite understandable why its price went up a bit.

Large system integrators such as HP and Gateway are selling huge quantities of 5000+ powered PCs as an alternative to e6300/6400 based systems. And because the price is more competitive (the motherboard for cheap AM2 parts still costs less than a Core 2 Duo comparable one), this AM2 campaign seems to be going well.