HP cuts prices on rack-optimised servers

HP cuts prices on rack-optimised servers

Taking advantage of a hot market for rack-optimised servers, Hewlett-Packard (HP) has slashed prices on several rack-optimised HP Netserver systems by as much as 23 per cent, according to HP officials.

Through a combination of discounts and rebates, HP's Netserver LP1000r and LP2000r, both two-way Intel-based servers that run either Windows or Linux operating systems, can now be purchased for as little as US$950, depending on configuration, HP officials said.

HP will offer rebates of as much as $850 through authorised commercial resellers for HP Netserver E800, LC2000, which are Intel-based workgroup servers. The already discounted LP1000r and LP2000r servers will also be included in the rebate program.

Normally, an HP Netserver LP1000r with two 866MHz Intel Pentium III processors costs $1,499 through HP's online business store.

Despite recent declining revenues in the overall server market, sales rack-optimised servers have enjoyed a revenue growth of 87 per cent since the first quarter of 2000, according to a recent report by International Data Corp (IDC). Non-rack optimised server revenue fell nine percent for that same time period, the IDC report found.

HP is the number two server vendor in the world with a 16 per cent revenue share, according to IDC.

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