Monday, July 21, 2008

R700 Launch in for Wet-Weather, GTX 280 Slash Coming Up



In what could be a serious blow to AMD's R700 dreams as the company struggles to survive, NVIDIA could be working out another price-slash for the GeForce GTX 200 series, signs of which are already surfacing. You can get a GeForce GTX 280 for US $440. American e-tailer Newegg has already put several brands' GeForce GTX 280 on shelves for $440 (listed here), lower than the launch-price of the GeForce GTX 260.

Implications are:

This paves the way for a 'GeForce GTX 280 Extreme', a new model which has been put on pre-order on British website OCUK (covered here).

While board partners seemed displeased at the current market trend with the GTX 200 series (covered here), all of a sudden, they are all offering price-cuts. Could NVIDIA be subsidizing these products, given that some reports suggest poor reception of these products in the North American markets?

Assuming the R700 comes in at around $499 and $549, it loses badly to the GTX 280 at its newest price on both fronts of price/performance and performance per Watt.

No price-cuts for GTX 260 have been noted, showing this cut is very much specific to the GTX 280, serves two purposes: 1. Phasing out the 65nm parts, 2. striking R700 when it hurts the most, during launch.

While NVIDIA has the resources to maintain the leadership of GeForce GTX 200 (by affording to slash prices), AMD doesn't.

Although the new $440 price tag looks tempting, you could wait for the R700 to launch, following which a more informed decision on your part could be made.

No comments: