The Inquirer reports that intel are having a big round of price cuts on Pentuim 4 processors. The cuts will happen August 22nd.
The prices listed are the bulk prices (the price paid for batches of 1000+ by computer manufacturers).
All Pentium 4 processors below 3ghz are phased out, and prices on other Pentium 4′s are cut.
What the price cut really means is that if you are looking to buy a new PC you should wait. A computer with a 2.8ghz processor should come with a 3ghz, one with a 3ghz should come with a 3.2ghz etc, for the same price after August 22nd.