Gateway turns up the heat with summer PC deals

Gateway said this friday that it will offer $100 mail-in rebates on its namesake 300SE and 500SE desktops and its Solo 1450SE notebook, dropping prices to $599, $699 and $999, respectively.

The deals will be available via its Web site and promoted by a new ad campaign that targets back-to-school PC buyers.

With many PC makers increasingly using rebates and promotions (Dell's "Dude! You're getting a Dell" promotion), Gateway's new $100 rebate now shifts the Solo 1450SE notebook into the sub-$1,000 range and, the company hopes that with the new $100 rebates, that these offerings makes it more appealing to back-to-school buyers.

Gateway is also using the rebates to increase pressure on its competitors - in particular Hewlett-Packard and eMachines, two big retail PC sellers, and Dell, its direct-sales rival.

Gateway is also bundling Microsoft's Office XP software for students and teachers who purchase certain PC models, such as the company's 300S desktop. The $899 machine incorporates a 1.8GHz Celeron chip, 256MB of RAM, a 40GB hard drive and a CD-RW, and a 17-inch monitor.

News source: CNet News

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