"is this a desktop or a laptop chip?"
It's a desktop chip. Merom isn't due until later.
Pricing at $600 was a handwaving move. "Look! Our new processors are cheap! And faster than the AMD ones! Wait until they are out! Please?". Consider it a last ditch attempt to stall AMD share growth. In simpler terms, they panicked.
Intel is in a box of their own making. Now AMD has a history of snatching defeat from the jaws of victory, so the game hasn't played out. But all AMD has to do is avoid screwing up in a big way. Intel needs miracles. In that, Hector is a good CEO for AMD at this point in time, he doesn't gamble. OTOH, Intel really needs to recruit the Colonel. He may be high maintenance, but a luckier SOB has never graced any semiconductor company. When you are an underdog, luck is a good thing to have on your side...