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Compaq cuts server prices

Compaq reduces prices up to 12 percent on selected ProSignia 300 servers, the third round of price cuts in three months.

    Compaq (CPQ) announced today that it was reducing prices up to 12 percent on selected ProSignia 300 servers.

    This is the third round of price cuts in three months from Compaq and comes in response to new low-cost entries into the Pentium-based server market. The Prosignia line is targeted at small- and medium-sized businesses.

    The following models received price cuts:

    --ProSignia 300 5/150 Model 1 with a 150-MHz Pentium was priced at $2,111 and is now priced at $1,889, a reduction of 11 percent.

    --ProSignia 300 5/150 Model 2100 with a 150-MHz Pentium and a 2.1GB Fast SCSI was priced at $2,932 and is now priced at $2,710, a reduction of 8 percent.

    --ProSignia 300 5/120 Model 1 with a 120-MHz Pentium was priced at $1,889 and is now priced at $1,667, a reduction of 12 percent.

    --ProSignia 300 5/120 Model 2100 with a 120-MHz Pentium was priced at $2,710 and is now priced at $2,488, a reduction of 8 percent.

    The ProSignia servers come standard with 16MB of ECC memory, 256K of cache memory, and a 32-bit PCI Ethernet controller. The system also ships with Compaq's Insight Manager, which provides server and client management monitoring, and SmartStart, which optimizes platform configurations and simplifies server setup.

    Compaq says the price cuts are effective immediately, but are applicable only in the United States.