Technology Briefs

The new microprocessor gives the Santa Clara-based chip giant bragging rights and gives computer users a faster, visually richer experience.

Major PC manufacturers, including Dell Computer Corp., Compaq Computer Corp., Hewlett-Packard Co. and IBM Corp., are expected to start releasing products next week using two versions of the Pentium 4 chip -- one that runs at 1.4 gigahertz and another at 1.5 gigahertz.

Intel would not disclose the cost of the chips, but industry sources have pegged the price of the 1.4 gigahertz chip in the range of $650 and the 1.5 gigahertz chip in the range of $800.

The high-performance Pentium 4 chips will be attractive to the top 5 percent of the PC market -- the power gamers, the people who push the limits of their computers, Enderle said.

Following historical patterns, however, the high prices of the powerful microprocessors will eventually drop and be incorporated into more affordable products for mainstream consumers, who today are spending between $1,200 and $1,500 for desktop computers.

Hewlett-Packard spin-off sold to Royal Phillips

PALO ALTO -- Agilent Technologies Inc., the testing and measurement equipment company spun off from Hewlett-Packard Co., is selling its medical supply group to Royal Philips Electronics for $1.7 billion.

In the deal announced Friday, the Dutch company would get Agilent's health care solutions group, which has annual sales of $1.5 billion in patient monitoring, ultrasound imaging, resuscitation and other high-tech medical supplies.

That would complement Philips' medical systems group, which makes diagnostic imaging machines, such as CT and X-ray scanners, and would free Agilent to concentrate on making measurement and monitoring instruments and semiconductor and optical components.

Shares of Agilent were up nearly 14 percent, or $5.8, to close at $47.38 Friday on the New York Stock Exchange, where Philips' American shares were up 31.3 cents, or 1 percent, to close at $35.81.

Agilent was spun off last year as one of the first steps in Hewlett-Packard's consolidation and restructuring. Agilent has 46,000 employees and had sales of $8.3 billion last year. Philips is Europe's largest electronics company, with 232,000 employees in more than 60 countries.<