AMD to drive high-end graphics card prices down?

— 10:21 AM on April 11, 2007

When it purchased ATI, AMD made it abundantly clear that it intended to conserve the red team's foundry partnerships and not shift production of graphics processors to its own fabs. That's what the firm's been doing so far, but according to The Inquirer, AMD does plan to apply some of its manufacturing expertise to GPU production in the future.

The Inq says that even though AMD won't use its own facilities (or fab partners that use its Automated Precision Manufacturing technology), some elements of AMD's manufacturing strategy will be used for production of 65nm graphics processors. The move should result in higher-performing and cheaper-to-produce parts, and the site claims that AMD will use that advantage to undercut the current high-end graphics card price bracket "by $100-150." Today's fastest graphics card, the GeForce 8800 GTX, retails in the $500-600 range, so this move would presmuably place a competing AMD model somewhere between $350 and $500. The shift will supposedly occur with the 65nm shrink of AMD's upcoming R600 graphics processor, which is said to be dubbed R650.

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