Watch CBS News

Compaq Cuts Prices On Some PCs

Compaq Computer Corp. shares edged higher Wednesday after the PC giant lowered prices by as much as 7 percent on its new line of Prosignia desktop computers for small businesses.

Compaq (CPQ) said late Tuesday that the new prices position its products "at or below similarly configured systems offered by direct competitors."

Brutal price wars and inventory backlogs plagued the personal computer market in the first half of 1998.

Enter a ticker symbol


Symbol Lookup
COMPAQ (CPQ)
The Houston-based PC maker also said in a release that sales of the Prosignia line "have been almost three times stronger than the company had originally anticipated." The company didn't detail sales figures.

Compaq's shares rose 3/16 to 42.

The Prosignia brand includes desktops, notebooks and servers. Compaq rolled out the line last month in an effort to take on direct selling rivals like Dell Computer (DELL).

Written By Emily Church

View CBS News In
CBS News App Open
Chrome Safari Continue