Compaq to cut computer prices

US computer maker Compaq said yesterday it would slash prices on all of its office computers by up to 18 per cent, putting the…

US computer maker Compaq said yesterday it would slash prices on all of its office computers by up to 18 per cent, putting the popular Deskpro models at under $1,000 (£729).The announcement "demonstrates continued commitment of Compaq to provide the right set of products, services, programmes and partnerships at the right price points to the high-growth small business segment," a spokesman for Compaq Computer Corp, Mr Kenny Kurtzman, said.Compaq Computer said on January 26th it had agreed to buy Digital Equipment in a $9.6 billion cash and stock deal, the biggest in the history of the computer industry.The acquisition would unite Compaq, the largest manufacturer of personal computers, with a leading maker of high-powered computers known as work stations and servers, which are used by researchers, engineers and users of complex graphics.Compaq is the fifth-largest computer company in the world and the largest global supplier of personal computers.