Intel considering Ivy Bridge price cut

Intel® has tried for months to convince original equipment manufacturers (OEMs) to reduce their profit margins in an effort to get the Ultrabook™ off the ground. Now, it seems the chipmaker is preparing to take a pay cut itself by slashing the cost of the Ivy Bridge processors found within many of the latest Ultrabooks.

When introducing the Ultrabook in May 2011, Intel made the bold prediction that the device would account for 40 percent of all consumer notebook sales in 2012. Intel has held onto this lofty goal, though it appears others aren't willing to make the sacrifices necessary to get there.

Chinese newspaper the Commercial Times reports, however, that Intel is mulling the idea of reducing the cost of its ultra low-voltage Core™ i3 microprocessor by about $25 to $27 to make it easier on manufacturers to offer lower-priced Ultrabooks.

As Xbit Laboratories reports, it is unclear how the price cuts will affect the Ultrabook market or whether they will help Intel reach its Ultrabook goal. What will become apparent, though, is whether people are ready to make the move to Ultrabook technology. Cost has often been cited as the main inhibitor of the Ultrabook's growth, but Intel's pending move could determine whether or not this is true.