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Saturday, January 21, 2012

AMD Will Cut Ultrabook Price

While Intel is getting ready to launch its innovative Ivy Bridge platform designed for Ultrabooks this April, AMD has developed a cunning plan to drop the price of its Trinity chip by 20% for its equivalent model.


Although AMD has to comply with the trademark law and therefore cannot call its product an Ultrabook, its Ultrathin is apparently set to be introduced this June, with a price tag being 20% lower than the $799-999 offered by Intel. Local media confirmed that AMD’s new platform is intended to attract such vendors as HP, Acer and Asustek away from its competitor “vision”.

Initially AMD was going to introduce the Deccan platform with Krishna and Wichita APUs this June, and later upgrade to the Kerala platform next year with Kabini APU, which is intended to compete against Intel’s Ivy Bridge this year and Haswell next year. However, it looks like AMD has suddenly changed its strategy because of the Intel’s Ultrabooks and has now decided to have Trinity-based APU to enter the Ultrabook market and sell its Ultrathins much cheaper in order to expand its share in the market.

According to media reports, this year there will be 75 new ultrabooks based on Intel’s platform, while AMD will only introduce 20 models. At the same time, the AMD Ultrathins won’t be much clever compared to its competitor’s Ivy Bridge-based Ultrabooks, but they will be $100-200 cheaper than the similar Chipzilla models. On the one side, this is going to benefit the consumers, but on the other side, industry experts are concerned that AMD’s Ultrathins could cause the price of Ultrabooks to decrease rapidly. Indeed, price drops are fine if the manufacturer is ramping up to big production, but when AMD enters the market with cheap machines, the price will have to fall before big production is even possible

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