Intel, Microsoft to market P4, XP bundle 

Poor economic times in the computer industry have apparently re-united Intel and Microsoft after six years of a somewhat strained relationship. Intel and Microsoft announced plans to jointly promote and market Microsoft's Windows XP operating software.

"The two firms will jointly market XP and Intel's Pentium 4 chip," said Intel Executive Vice President Paul Otellini. Intel and Microsoft hope that the advanced capabilities of the two products in the areas of digital music, graphics and the Internet will compelling consumers and businesses to upgrade their PCs.

Windows XP is the first PC desktop OS based on the Windows NT/2000 platform and will bring a new level of stability to the ordinary desktop, which has been plagued for two decades by sudden crashes and freezes.

Intel announced the release of a 1.7 GHz Pentium 4 chip that will sell for just $352 in volume. It is by far the most aggressively priced new high-end product launched. "With the chips and software coming so close together, it made sense to collaborate," Otellini said. "One of the things our customers are doing in working with us and Microsoft is ensuring machines are out there to support XP when it becomes available. What you'll see for the first time ever in the heat of the selling season is joint merchandising from Intel and Microsoft," he added.