How is this a failure? This will cost 10% more than a GTX 580 and delivers 25% more performance? How often does that happen with ANY computer upgrade (CPU/GPU/Mobo/RAM/SSD/HDD)?
I can see the line of thinking that goes, "Nvidia will soon (?) launch something (?) that will offer ?% more performance for $?" and sure, that's inevitable. For a card announced today, available in January, this is a solid launch. AMD would be stupid to sell it for less money while they still have the fastest single-card GPU. Now will they be able to cut price should/when Nvidia launches their counterattack, that remains to be seen.
As for me, I bought a Radeon 5850 two years ago while they were selling for $339 and am perfectly fine playing BF3 on the High preset. I have tried the Ultra preset (works pretty fine in single-player and on an empty MP server

) - sure it looks better but not worth the cost/hassle of selling my current GPU and paying the difference. Need to wait for the next big leap in graphics that renders GTX 4xx/Radeon 5xxx class cards unusable.
Will probably end up waiting until the inevitable 8870/8850.