Article: Compaq lowers prices on server, network gear. (1600 ProLiant server, 24-port 2724 hub, token-ring PCI NIC) (Product Information)

In the latest round of one-upmanship in the server market, Compaq Computer Corp. has sliced the base price of its mid-range Windows NT server by 6% and dropped the price of server options by up to 36%.

The PC server market leader said that it is making the price cuts to stay competitive with rivals, such as IBM and Dell Computer Corp., that have also made recent cuts. But industry observers said Compaq is cutting its prices to drive sales of products that are clogging up its channels.

The server price cuts come at a time of sluggish growth for the PC server market as users hold off on buying current models while they wait for machines based on 64-bit Merced ...

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