Final Words

With 3 major launches in under 3 months it seems like I’ve written he same thing time and time again, and that wouldn’t be an incorrect observation. By being the first to deploy 28nm GPUs AMD has been enjoying a multi-month lead on NVIDIA that has allowed them to set their own pace, and there’s little NVIDIA can do but sit back and watch. Consequently we’re seeing AMD roll out a well-orchestrated launch plan unhindered, with AMD launching each new Southern Islands card at exactly the place they’ve intended to from the beginning.

At each launch AMD has undercut NVIDIA at critical points, allowing them to push NVIDIA out of the picture, and the launch of the Radeon HD 7800 series is no different. AMD’s decision to launch the 7870 and 7850 at roughly $25 to $50 over the GTX 570 and GTX 560 Ti respectively means that NVIDIA’s cards still have a niche between AMD’s price points for the time being, but this is effectively a temporary situation as NVIDIA starts drawing down inventory for the eventual Kepler launch.

Starting with the Radeon HD 7870 GHz Edition, AMD is effectively in the clear for the time being. At roughly 9% faster than the GTX 570 there’s little reason to get the GTX 570 even with the 7870’s price premium; it’s that much faster, cooler, and quieter. With the launch of Pitcairn and the 7870 in particular, GF110 has effectively been removed from competition after a nearly year and a half run.

As for the Radeon HD 7850, things are not so clearly in AMD’s favor. From a power perspective it's by far the fastest 150W card you can buy, and that alone will earn AMD some major OEM wins along with some fans in the SFF PC space. Otherwise from a price perspective it’s certainly the best $250 card you can buy, but then that’s the catch: it’s a $250 card. With GTX 560 Ti prices starting to drop below $200 after rebate, the 7850 is nearly $50 more expensive than the GTX 560 Ti. At the same time its performance is only ahead of the GTX 560 Ti by about 9% on average, and in the process it loses to the GTX 560 Ti at a couple of games, most importantly Battlefield 3 by about 8%. AMD has a power consumption lead to go along with that performance lead, but without retail cards to test it’s not clear whether that translates into any kind of noise improvements over the GTX 560 Ti. In the long run the 7850 is going to be the better buy – in particular because of its additional RAM in the face of increasingly VRAM-hungry games – but $199 for a GTX 560 Ti is going to be hard to pass up while it lasts.

Of course by being in the driver’s seat overall when it comes to setting video card prices AMD has continued to stick to their conservative pricing, both to their benefit and detriment. The 7800 series isn’t really any cheaper than the 6900 series it replaces; in fact it’s probably a bit more expensive after you factor in the rebates that have been running on the 6900 series since last summer. But these prices stop the bleeding from what has been an aggressive price war between the two companies over the last 3 years, which is going to be of great importance to AMD in the long run.

Nevertheless we’re largely in the same situation now as where we were with the 7700 series: AMD has only moved a small distance along the price/performance curve with the 7800 series, and they’re in no particular hurry to change that. But if nothing else, on the product execution side of things AMD has done a much better job, getting their old cards out of the market well ahead of time in order to keep from having to compete with themselves. As a result your choices right now at $200+ are the 7800 and 7900 series, or last-generation Fermi cards. Otherwise we’re in a holding pattern until AMD brings prices down, which considering Pitcairn is the replacement for the Barts-based 6800, could potentially be quite a reduction in the long run.

Wrapping things up, at this point in time AMD has taken firm control of the $200+ video card market. The only real question is this: for how long? AMD enjoyed a nearly 6 month lead over NVIDIA when rolling out the first generation of 40nm DX11 cards, but will they enjoy a similarly long lead with the first generation of 28nm cards? Only time will tell.

Overclocking: Gaming & Compute Performance
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  • ET - Monday, March 5, 2012 - link

    I agree it's kind of disappointing. Even a 5750 was a good improvement over a 3870, and here there's nothing approaching this kind of performance benefit over the 5870 from these. Though I think part of it is that the 5870 still holds up well in many games, as these benchmarks show.
  • Kjella - Monday, March 5, 2012 - link

    I don't think it's that terrible... the 7870 fits pretty much the exact same power envelope as the 5850 and is starting to be a pretty solid performance upgrade. Yes it's a $350 card but inflation adjusted the $279 (pre-hike) 5850 is nearing $300 in 2012 dollars. A good deal and a good cooler (the reference cooler on the 5850 works, but is hardly quiet) and they may get a sale. Just waiting for Ivy Bridge, if nVidia hasn't shown a stunning Kepler by then I think the 7870 is it.
  • Death666Angel - Tuesday, March 6, 2012 - link

    Average increase of 40% in performance and you are comparing a high-end graphics card to a mid-range graphics card.
  • DominionSeraph - Monday, March 5, 2012 - link

    So, AMD discontinued the $250 6950 and $350 6970 to give us... a $250 6950 and $350 6970.

    Not exactly impressed.

    Looks like it will be up to Nvidia to save us, just as they saved us from the price-gouged 5000 series with aggressive release price of the GTX 460 with price drops on the GTX 470. (That one action set the pricing scheme throughout the 6000/500 series)
  • CloudFire - Monday, March 5, 2012 - link

    I'm not upgrading this cycle but I do wish to see Kepler out sooner to drive down prices. This is business and AMD has a few months of no competition so they are going to do all they can to reap massive profits.

    Nvidia isn't going to save you, they would do the same thing if they were in AMD's position. Remember nearly 5 years back with the 8800GTX going for 500+ for over a year? Yea......
  • DominionSeraph - Tuesday, March 6, 2012 - link

    A halo product with no competition is beside the point. We're talking about the 7800 series which sits right in a range where there are competing products, and AMD is pricing it to suck you dry.

    The fact is that the 7000 series is not undercutting the 500 series the way Nvidia undercut the 5000 series. A $250 7850 vs a $270 + free Batman Arkham City GTX 560 Ti 448 Cores is about equal price/performance (maybe a tad in the favor of Nvidia). Contrast this to the GTX 460 being released at $200 when the 5770 was $180. The GTX 460 blew the doors off the 5770 and instantly said the appropriate price for that card is ~$130. A few months later we were seeing $110 5770's and $150 GTX 460's, and that's where we've been at ever since.

    AMD refuses to aggressively compete with Nvidia. They simply slot their products into Nvidia's pricing structure. So prices only change when Nvidia drops theirs and AMD is forced to follow. This means that we, the consumers, are dependent on Nvidia to save us, because AMD sure as hell won't.
  • Exodite - Tuesday, March 6, 2012 - link

    Not really a valid point of comparison though.

    Looking through several reviews of the 7800-series the 7850 lies closer to a 570 than a 560 Ti most of the time, while offering more and better in every possible category.

    Sure, the 7850 isn't on the market yet but assuming the ~250 USD pricing holds true I couldn't possibly recommend a 560 Ti, or even 448 core version, over the 7850 with a straight face.

    It could still be cheaper, sure, but it's nowhere near the pricing disaster the 7900 and 7700 series are.

    To my mind the 7800 series were the ones to wait for.

    Granted, with a 6950 myself I won't be upgrading until the 8k-series at the earliest. Unless Kepler turns out truly amazing, and brings triple display functionality on a single card.
  • tipoo - Monday, March 5, 2012 - link

    If I recall Nvidia hasn't really under-priced AMD in recent memory, they've always tried x more performance sold for >x price.
  • ET - Monday, March 5, 2012 - link

    "AMD discontinued the $250 6950 and $350 6970 to give us... a $250 6950 and $350 6970."

    When you put it this way, it's quite a likeable upgrade actually. Slight boost in performance, lower power and better thermals, upgraded features, all for the same price. What's not to like?
  • chizow - Monday, March 5, 2012 - link

    What's not to like is it took them 16 months to put out a greener refresh sidegrade.

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