Analysis - The commercial implications of Core i7

[HEXUS]

Intel raises the bar yet further with its latest CPU architecture but what does this mean for the wider market?

Read more.

[kalniel]

Indirectly, however, it allows Intel to cut the prices of its older products yet further and put even more price pressure on AMD.

I don't think it's anything to do with being allowed, certainly not by i7 - Intel could have cut the price of the now older products any time they liked - it's just that there was no need to so they might as well keep a better profit margin.

The smartest thing Intel have done, which I'm not sure you mention in the article, is delay the mainstream nehalem products a year. Essentially the current mainstream products (now core 2) are still more than good enough to compete with AMD and the delay gives them market space to operate in, while allowing Intel to only release with a more efficient/cheaper manufacturing process.