AMD Silently Cuts Prices on Radeon 3800 Again
March 20, 2008 3:01 PM
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AMD to cut prices on HD 3000-series in light of NVIDIA GeForce 9 price trend
Late last month NVIDIA launched its first card in the next generation GeForce 9 series of graphics cards and the manufacturers suggested retail price was set modestly between $170 - $190 range. In response to NVIDIA's 9600GT launch
AMD cut prices on its latest offerings
. The price of the HD 3870 model was cut down to $189 from the original $249 mark while the pricing on the HD 3850 was lowered $30 to $169.
Since the launch, NVIDIA's GeForce 9600GT produced some attractive benchmarks numbers as it comes in just behind the 8800GT in many PC game tests and even claims a few steps past AMD's HD 3870 in a handful of PC game tests.
Since then retailers such as Newegg cut pricing below the original MSRP of $169-189, down to $150 on NVIDIA GeForce 9600GT models.
In response to this, AMD is set to cut prices yet again on its Radeon HD 3800 line. Independent retailers tell
they are receiving partner pressure to drop the price on these cards below the corporate pricing set just a few weeks ago.
These retailers state the pressure is a direct retaliation to the GeForce pricing, which is also uniformly below the MSRP.
Radeon HD 3850 are said to hit prices as low as $140 with the HD 3870 trailing behind at $160 to compete with the GeForce 9600GT.
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Common sense cut
3/20/2008 9:30:27 PM
I had just been thinking when looking at video cards considering a purchase recently, that AMD cards needed a drop. As of before this, none of them were a good purchase. The 9600GT ruined there market position. Before 9600GT they held a good position, not as good as 8800 GT but also cheaper, still much better than 8600GT. But a 9600GT is right about the same speed as a 3870, but on newegg the cheaper 9600GT's run about $165, while the 3870 runs $180 and up.
If there is a $150 9600GT as stated by Dailytech, it's probably a Zotac brand, which I dont think anybody trusts, so I wouldn't count that. 9600GT is still cheaper though. However there is currently a special deal on XFX 9600GT for $129 after MIR and code.
Anyways point being, no doubt AMD saw 3870/50 sales drop precipitously in the face of the superior value of 9600GT, and this is just a much needed reaction to that. At ~159 it is once again about the same price as a 9600GT with similar performance (perhaps a bit better).
I wouldn't worry about AMD's ability to cut price either. The die size (which determines cost) on 3000 line is very small, smaller than even 9600GT I believe.
"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation
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