Intel has cut the prices of its Celeron processors for the third time bringing the entire Celeron line to below $90

The largest reduction this time around was on Intel's 2.4GHz Celeron processor, which saw its price slashed 18.4 percent to $84

The price of the Celeron's 2.3GHz processor was reduced 11.2 percent to $79, while its 2.2 GHz and 2.1GHz counterparts now share a common price tag of $74 after a 10.8 percent and 6.3 percent reduction respectively. Prices for the other Celeron processors remain unchanged.

Intel typically reduces its chip prices on a predetermined schedule. Most often, it cuts prices to make room for new chips that it plans to introduce soon or to entice PC makers to move up the line to its faster processors. The firm last cut prices for its Celeron chips in April.

The company is expected to introduce several new desktop Pentium 4 chips, including a new 3.2GHz processor that will become its flagship, and a new chipset, or group of supporting chips for desktop PCs, dubbed Springdale. These introductions are likely to spark additional price cuts.

When the dust clears, Intel will have shifted its existing desktop Pentium 4 chips downward a notch in its pricing structure, making room for the newer chips.

After the Pentium 4 product introductions and related price cuts, Intel is expected to hold its desktop product line steady for a time while it works on its Prescott chip, a replacement for the current Pentium 4 that is due later in the year.