Intel, AMD ready 600MHz chips

The two top PC chipmakers plan to unveil new high-end processors in the next two weeks that will surpass current performance levels for mass-market PCs.

Intel will release its fastest Pentium III and Celeron processors on Monday, reaching 600MHz and 500MHz, respectively. A week later, the first computers built around AMD's new Athlon processor - formerly called the K7 - will appear on the market at competitive speeds, sources say.

New Pentium III computers should hit the $1,800 to $2,000 PC range, while the new Celeron chips will be targeted at the thriving sub-$1,000 market. Intel will also cut prices on slower Celeron chips.

IBM, Compaq, and Gateway, among others, are expected to announce models with the new Pentium III and Celeron chips, while IBM, Compaq, and others are expected to come out with new PCs based on AMD's chip later in the month.

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