Microprocessor price war continues

By Jim Carbone -- Purchasing, 3/6/2007 2:14:00 PM

Stiff competition in the microprocessor market is keeping pressure in prices, according to Intel Chief Executive Paul Otellini.

During a Webcast at an investor conference in New York, Otelleni said Intel is trying to maintain its market share in the microprocessor market. It’s estimated that Intel has about 74% of the microprocessor market.

Earlier Intel’s rival Advanced Micro Devices warned it would miss its first-quarter revenue target. Analysts say price pressure is one reason for AMD not hitting its revenue target. AMD and Intel have been engaged in a price war. Buyers can expect that war to continue as Intel tries to prevent AMD from gaining any more share.