>I have had a local quote of $1.10 (Cdn) each for 1000 PIC12C508s, versus
>$3.21 (Cdn) each for 1000 PIC16C54s. This seem like a huge difference
>considering how similar the chips are.

        Yes and no.  In volume, the cost of the silicon becomes
        a small part of the cost of a device.

        Package cost and testing cost tend to dominate.

        Of course, I'm sure Microchip are also trying to build
        the market for the 8-pinners and may be manipulating
        prices to do so...

        Unless other people on the list give you good reason to
        believe otherwise, I'd be wary of commiting myself to the
        '508 at this early state without a *guaranteed* supply.

___Bob