That is true untill you factor in what you pay for performance. For the next 6 months to get into a core I7 setup will cost you about 700. 300 for the chip, 200+ for the mobo ( the lowest priced now), and around another 200 for memory. And that'll get you the low end offerings of I7. And as along as the q series quad cores are around, I don't see intel dropping the prices anytime soon.

To get into the best of Phenom2, which by no means is a slouch, will be less than 400. 200 for the chip, 100 for the mobo, and 50 or so for the memory. The prices on the Phenom 2's will drop, making it even better deal a little later on.

Grant it, I didn't include harddrives etc... But for the average shmo, and that includes me, core I7 is unattainable. However, I can get close to I7 performance, and even beat some of the lower offerings be going with the best of the Phenom 2 at nearly half the cost.

If I go quad core, I really don't see an option other than phenom 2. There are the q cpu's series but all the worth wile motherboards are around 200. Killing the deal for me.

Quoting Thrax

Unfortunately not. The Core i7 is simply a superior chip in virtually every regard. AMD has improved their standings with the Phenom II, but as the conclusion notes it's a feat that is a day late and a dollar short.

By the time AMD releases a 12 core chip, Intel will be well on their way to 8 core chips with hyperthreading to support 16 threads at a time. Anyone who wants AMD to succeed must wait for the Bulldozer in 2010.