Technology company Hewlett-Packard, which employs more than 1,500 people in the State, has launched a new round in the computer price war by cutting 28 per cent off the price it charges European service providers for its newest computer servers.
The US computer and printer maker cited stiff price competition from rivals Sun Microsystems and IBM as well as the continuing and rapid price declines for such servers.
Hewlett-Packard said the average base price of its LP1000r and LP2000r NetServers, launched in January and sold to Internet and application service providers (ISPs/ASPs) and telecom carriers, would drop to about $2,200 from an average of about $3,000.
"We've been driving the price cuts in Europe and the US for six to nine months because we want to gain more and more market share in the front end of the service provider market", Mr Alberto Bozzo told reporters. Mr Bozzo is the operations manager for Hewlett-Packard's NetServer Business in Europe.
More than 40 per cent of Hewlett-Packard's business-to-business revenue comes from or is related to the telecommunications or ASP/ISP sector.