ALR will buck the trend of cutting hardware prices this month when it increases the prices of its servers by as much as 10 per cent.
The move has come about as a result of a shortage of Pentium Pro processors and the recent increase in DRam prices.
The vendor has turned to the open market to ensure its supply of Pentium Pros, rather than rely on its Intel OEM contract, and has had to buy at premium rates.
Brian Green, ALR product manager, said the move was unavoidable and that the price increases would not be detrimental to ALR?s channel partners. ?Everyone?s got back orders on processors. We?ll do all we can to meet the demand for our products.
?We don?t think this will impact on us or on our channel. We are still competitively priced when compared with someone like Compaq.?
Manny Pinon, sales and marketing manager at Norwood Adam, was unimpressed. ?ALR kit might still be about 25 per cent cheaper than Compaq, but a price increase is still a price increase,? he said.
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