Nvidia lowers prices ahead of Radeon HD 6800 launch

Matthew DeCarlo

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Nvidia has informed us that it's adjusting prices on the GeForce GTX 400 cards to prepare for the launch of AMD's Radeon HD 6800 series (you can expect our review to be published pretty soon). The company says the Radeon HD 6870 will arrive at $240 -- aimed squarely at the GTX 460 and 470. The GTX 460 1GB has been fetching about $230 online since its July debut, but Nvidia has lowered the suggested etail price (SEP) to $200. Additionally, the GTX 470's SEP has been reduced to $270.

Nvidia says the Radeon HD 6850 is positioned against the GTX 460 768MB, but it doesn't feel the need to make any adjustments. The HD 6850 will supposedly be priced at $180, while the GTX 460 768MB can already be found as low as $160 online. Also, despite the GTX 460 1GB's $200 SEP, many stock cards will sell in the $180-$190 bracket while overclocked boards will be $210+, providing ample competition to AMD's latest offering.

The new prices should roll out over the next few days, but Newegg has already adjusted some of its rates, putting many GTX 460 1GB cards below the $200 mark with a mail-in rebate -- some as low as $170. Likewise, TigerDirect offers the GTX 470 for as little as $219 with a rebate.

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$216 GTX 470 and $170 460 with rebates. I feel annoyed because it's actually the companies laughing at you saying "Hey guess what! We could sell these for this price and still make tons of cash EVERY DAY!"
 
I wonder if AMD will drop their prices before actually selling their cards. That would be kind of funny. And @ Princeton. Nvidia does not make much profit from their consumer GPUs. I think they just want the market share.
 
Never fails - I bought two GTX 460 cards a month ago and now we have the big price drop. (shrugs) Oh well...nature of the beast.
 
Chazz said:
I wonder if AMD will drop their prices before actually selling their cards. That would be kind of funny. And @ Princeton. Nvidia does not make much profit from their consumer GPUs. I think they just want the market share.
Really? How much does a typical midrange card cost to manufacture? Say the GTX 460 or HD 5850.
 
princeton said:
Chazz said:
I wonder if AMD will drop their prices before actually selling their cards. That would be kind of funny. And @ Princeton. Nvidia does not make much profit from their consumer GPUs. I think they just want the market share.
Really? How much does a typical midrange card cost to manufacture? Say the GTX 460 or HD 5850.

This is just gathered knowledge from paying attention to GPUs from the past few years and a little common sense.

1. Nvidia CEO, Said something like 80-90% of their profits comes from the Professional GPU market, whereas 70-80% of their GPU sales are consumer market.

2. ATI dominated the consumer market this past year and they aren't making any money if you look at their quarterly reports. Some of it has to do with AMD's debt but,they should be making a lot more than they are for having 90%+ of the DX11 market.

3. Most of Nvidia's cards are bigger than their competition and, specifically the 460, has an amazing price/performance ratio. Dropping prices even further has to hurt.


Dropping the price of the 470 shouldn't hurt that bad. But the 460 was already dirt cheap and it was the card that people cared about. I love it, but they can't be raking in the dough.
 
in addition to what Chazz said:
I will try to find the article Princeton, but I had read that the 4xx gen has been particularly brutal profit wise. The R&D and horrid yield led to razor thin margins on the whole line. The 480 and 470 was being sold at a loss, at least on paper.
 
Mmm... So, you are saying that the most profits for Nvidia comes from the 20%/30% of their sales? I don't believe it. I'd believe that it's more profitable selling pros GPUs than gaming GPUs... which is something completly different. (Understand profit as the difference between the cost of producing something and its selling price).
 
Mmm... So, you are saying that the most profits for Nvidia comes from the 20%/30% of their sales? I don't believe it

why would you say that? I don't think that is an all that uncommon scenario grv.
 
TomSEA said:
Never fails - I bought two GTX 460 cards a month ago and now we have the big price drop. (shrugs) Oh well...nature of the beast.

Damn, didn't that just happen to you after getting a new CPU? =/
 
Intel makes fabulous profits off their Top end CPUs and far less from their Bread and Butter midrange. Profit IS not simply cost to make vs selling cost. there are all sorts of other costs to factor in. The main one for these types of company is R&D (research and Development) also marketing and massive backhanders to large company's to sell your brand exclusively. Intel (in one year, 2007 IIRC) paid DELL approx $1bn for "marketing" purposes. The screwiest type of Capitalism I've ever heard about.
 
$219 for a GTX 470 is a heckuva bargoon, especially if you up the voltage and subsequently, the clocks. I've made one or two cracks about Fermi since its release, but I've been very pleased with my 470, even having come from a pair of 4870's in CF.
 
Mmm... So, you are saying that the most profits for Nvidia comes from the 20%/30% of their sales? I don't believe it.
Really?
Welcome to the world of GPGPU...
Tesla C2050 (downclocked GTX 470 w/3Gb GDDR5)....$2,499.00 (The Nebulae supercomputer uses 4,640 of these GPU's. And while they probably didn't pay retail, I doubt they were given away either)
Tesla C2070 (same card w/ 6Gb GDDR5)...$3,995.00 (msrp)
and HPC...
Tesla S2050/M2050...(quad downclocked GTX 470 w/ 12Gb GDDR5. 1U rackmount)...$12,995.00
Tesla M2070... (as above w/ 24Gb GDDR5, 1U rackmount)....$18,995.00
Workstation...
Quadro 5000... (downclocked GTX 470 w/ 2.5Gb GDDR5)...$1799
Quadro 6000...(downclocked GTX 480 w/ 6Gb GDDR5)...$4,999 (msrp)
and of course, any number of Quadro Plex (video rendering external server) solutions. This dual FX 5600 (downclocked 8800 Ultra) for a little over $10k, and the (very) new Quadro Plex 7000 (dual downclocked GTX 470 w/ 12Gb GDDR5) at $14.5k for example.

Good margins for what are essentially desktop parts- albeit top bin.
 
With a price drop like these after just 6 months, a spring build might be able to get a pair for a decent price to run in SLI mode.
 
My younger brother wiped his 465 and it now shows up as a 470. Never tried it but before this price drop it saved him 70 dollars.
 
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