Intel's Processor Price List vs. Reality

On chip giant Intel's (NASDAQ: INTC) investor relations page, the company provides a link to a price list for its wide range of processor offerings. These prices are what Intel refers to as "recommended customer price[s]." Some investors might refer to this processor price list to get a sense of what the company charges its major customers -- that is, large personal computer vendors and large data center operators -- for its chips. However, investors need to keep in mind that the prices on this price list don't reflect what customers who buy chips in any real quantities actually pay.

Allow me to illustrate that with an easy example.

Image source: Intel.

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Source: Fool.com