As I see it, the problem with the model these companies are following is that they think, and depend on, bringing out new cards way before they are needed, is going to entice the market to buy their products at the insane prices they have been charging for years.
In a way, its the fault of those in the market for buying insanely priced cards for nothing more than bragging rights. I forget the names of the Nvidia cards that started this trend, but the ball has been squarely in Nvidia's court since they started this crap and people bought their insanely priced cards.
Now, people are wising up and refusing to buy their over-priced crap. And what does Nvidia do? Cut production because it is intoxicated on the high it got from the days when people would spend insanely on their products.
And we call these piddling price cuts on mid-range cards "The GPU Market has Finally Given In?"






The smart company will decide that they still need to sell cards to make money, and I bet we will see further price drops - maybe not right-away, but when it finally starts to really hurt these drunken and intoxicated companies.
We've already seen this with Intel. They were the poster-boy of over-priced crap. Finally, the market has bitten them as evidenced by their latest profit statement. No company can continue on that kind of downward spiral for very long.
If any of these companies want to remain profitable, they will have take it on the nose, and adjust their pricing structure - lest they disappear into obscurity.
I don't know now many were around in the days of Compaq, but they essentially had the same kind of mentality - and look at what they have become - a company doomed to obscurity by their own hubris.