Starting from next month AMD will cut prices on their Radeon HD 48XX lineup by as much as $50. With their 40nm RV870 series expected to arrive in September, the move is largely seen as a way to lower inventories and make room for new stock. It should also help the company better compete with Nvidia in the all-important mainstream and value segments.

Prices for the Radeon HD 4890 card will reportedly be lowered from $249 to $199, while the HD 4870 will be priced at $149, down from $199 – a quick search at Newegg already shows a factory overclocked version of this GPU from PowerColor priced at $154. Lastly, the Radeon HD 4850 is expected to go below the $100 mark. By comparison, the cheapest GeForce GTX 260 is available for around $165, while a GTS 250 currently sells for some $130 and a 9800 GT for $100.