AMD slashes prices ahead of Intel Duo launch

AMD has slashed the prices of its desktop processor range ahead of Thursday's launch of Intel's Core 2 Duo desktop processor range.

Prices on the Athlon 64 X2 4600+ (socket AM2 and 939) processor have been cut by 57 pre cent from $558 to $240 per thousand according to AMD's new price list. Meanwhile the price of AMD's premium Athlon 64 FX-62 dual core processor has dropped 20 per cent to $827.

The move comes the day before Intel launches its Core 2 Duo range at a price and performance mark that could put AMD behind its rival. Intel's new chips are price significantly below AMD's range and early testing of the Core 2 Duo range shows they could be the fastest desktop range on the market.

"Intel's been under extreme pressure over last six months," said Andy Buss,

"With the new chips Intel's chip performance has gone up while the power is coming down, making them much more competitive. This is a necessary competitive move by AMD to respond - after all, if AMDs leading the way why do they need to cut prices."

The announcement also means yet more pressure on the earnings of both companies. Recent financial results saw Intel comment on the "significant pricing pressures" of the current market.