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Intel Atom costs just $6, serves as cash cow?

updated 03:30 pm EDT, Fri March 28, 2008

Intel Atom Price Question

Intel's already inexpensive Atom processor could cost just a fraction of its actual price to build, information sent to TG Daily reveals. While official pricing leaked online suggested that the price to computer makers would cost a still-low $29 for a basic 1.6GHz model, the actual cost to make and ship a given processor is said by a purportedly reliable source to be just $6, or a fifth of the actual price. The cost is said to exclude the actual mainboard chipset and doesn't include higher-end models, such as the 1.87GHz dual-core version.

The difference between the price for Intel and the retail price for end users is also reported to be high enough that the semiconductor company would make as much as ten times its manufacturing costs on every chip sold. Intel has not commented on the claims, though the cost difference may suggest higher prices than necessary for the devices which will use Atom, which will include the Eee PC 900 and Apple's rumored ultra-mobile devices.




by MacNN Staff

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Comments

  1. greenG4

    Joined: Dec 1969

    0

    Not including...

    reasearch and development costs, of course.

  1. ClevelandAdv

    Joined: Dec 1969

    0

    $12.37

    Is what the basic chemistry of the author of this article is worth, proving the they are vastly overpaid.

  1. JackWebb

    Joined: Dec 1969

    0

    Anti-profit?

    Who is hurt by Intel becoming more efficient with their manufacturing. Intel is a public company. They can decide their pricing, how to profit and where to use their profits for their execs, shareholders, customers, R&D, all to everyone's benefit who is either invested in them or uses their products.

  1. zaghahzag

    Joined: Dec 1969

    0

    wow

    That's an incredible cost/performance ratio. For 600$ they could put 1000 processors into a machine. That's a level of processing power that hasn't been seen yet at a fraction of the cost. Holy c***!

    H O L Y C R A P !!!

  1. zaghahzag

    Joined: Dec 1969

    0

    oops

    I meant for 6000$ -> 1000 processors.

  1. koolkid1976

    Joined: Dec 1969

    0

    re: oops

    I think you meant $6000 -> 1000 processors. :p

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