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HP thinks compact with new PC

But gives just a modest nod to Compaq. The new D510 e-PC ranks as the company's only surviving Hewlett-Packard designed business desktop.

Computer giant Hewlett-Packard on Monday introduced a diminutive new PC.

The new desktop, the Compaq Evo D510 e-PC, is a hybrid of HP's e-PC and Compaq's newer Evo desktop, which sports a black-and-silver chassis design. HP created the e-PC as a small, low-priced desktop that could be used by companies with offices where space is at a premium.

The new D510 e-PC ranks as the only surviving HP-designed business desktop, with the exception of a pair of workstation models. The company will phase out the rest of its business desktop and notebook machines, following its merger with Compaq, in favor of Compaq-branded Evo PCs.

As previously reported, HP will sell the new e-PC model for a price starting at less than $700, as it will the Compaq-designed ultraslim Evo desktop.

HP will offer the Evo D510 e-PC for an introductory price of $699. Its base configuration will include a 1.8GHz Intel Celeron processor, 128MB of RAM, a 20GB hard drive, a CD-ROM drive and Microsoft's Windows XP Home operating system. A monitor is not included in that price. The machine can be fitted with Intel Pentium 4 processors up to 2.6GHz, more memory, larger hard drives and CD-rewritable or DVD drives.

Also on Monday, HP refreshed its low-priced Compaq Evo 310v desktop line for businesses and added two new flat-panel displays.

The newest Evo 310v models will offer either Celeron or Pentium 4 processors. It will start at $449 with a 1.4GHz Celeron chip, 128MB of RAM and a 20GB hard drive and Windows XP Home. The price does not include a monitor.

The two new Compaq flat-panel displays are the 15-inch TFT 1520 and 17-inch TFT 1720. The displays will sell for $479 and $719 respectively, the company said.