AMD is to cut prices on some of its Althon 64-bit processors, namely the X2, namely the single- and dual-core versions of the 64 X2 series. The biggest cuts come at the top end of the range, with price drops of between 8.1% and 45%, according to The Register .

Of these the most significant cuts were made to the Athlon 64 3200 , now $78 (£40); the 3500 , now $88 (£45); and the 3800 now $93 (about £48).

These price cuts could lead to lower price desktop and laptop PCs in due course. Both Dell and HP use AMD processors in their products.

Earlier this month, AMD revealed it had cut the prices of its Opteron processors to make room for new models. The company last reduced prices in October 2006.

A company spokesperson was unavailable for comment.