SlowSpyder
Lifer
- Jan 12, 2005
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Originally posted by: error8
Originally posted by: chizow
If Nvidia was selling their competing part for $450 (GTX 260), why not sell their part for $400 and still beat it in price/performance?
Because they could, because even at this price, 4870 was a very profitable card and it also gained much more clients this way. I guess that at 400$ they would still gain profit, but selling it much cheaper attracted more buyers and the profit was even larger.
ATi is not an altruistic firm by any means, they just used aggressive marketing to win more money.
Right. Chizow loves to say this, but has no way of backing it up. We have no idea if pricing the 4850/4870 higher would be better or worse for AMD's bottom line. AMD could have priced them higher, sold less of them and made more profit per unit, or go for market share and sell more cards for less profit per unit.
If the economy was booming, Nvidia was making money and AMD was losing money we could say their way of doing things was probably not right. As it is a lot of companies aren't making money, we have no way of knowing if pricing the cards higher would have been a better or worse move.