Intel said it is launching a faster quad-core desktop processor that is less expensive than its previous top-end chip.

Intel introduced the Intel Core 2 Extreme QX6850 at $999, which is $200 less than the QX6800, the company's previously fastest desktop processor used primarily in workstations and high-end machines used for PC gaming. In addition, Intel introduced an Extreme brand of processor for notebooks, the X7800 mobile dual core with both cores running at 2.6GHz.

The QX6850, which has a clock speed of 3.0 GHz and a 1333 MHz system bus speed, marks the start of Intel's price cuts in the quad-core desktop line up. The cuts are expected this month, possibly on July 22. Intel also introduced on Monday the quad-core Q6700, which at 2.66 GHz is faster than the Q6600, but has the same price of $530.

In the meantime, Intel's dual-core Extreme X7800 processor for notebooks, with 4 Mbytes of L2 cache, is available to manufacturers at a cost of $851. For the desktop, Intel also introduced on Monday the Core 2 Duo 3.0 GHz E6850 for $266, the 2.66 GHz E6750 for $183, and the 2.33 GHz E6550 for $163.