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IBM unveiled two new versions of its XT PC.

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At the same time, the company cut prices of existing XTs and most of its basic personal computers. The price cuts, which ranged between 4% and 11.7%, were expected by industry observers, who predict that IBM soon will introduce a replacement for its basic Personal Computer. The company said the new XTs employ only floppy disks that store less memory than hard disks. By contrast, the current XT has a hard disk that stores 10 million characters and one or two floppy disks. Each of the new XT models has 256K of main memory, with one having one 360K disk drive and the other having two such drives. The one-drive model costs $2,270, while the dual-drive version costs $2,570.

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