The chips are down

The Inquirer reports on ATI's latest price cuts.
OUR LITTLE birdie in Taiwan has confirmed that ATI has dropped its X1600 prices significantly. We are talking about chip prices for the partners. Now the X1600XT costs $62 per chip and it dropped from original $75 per chip. ATI had to do it as Geforce 6800 GS is the better performer and selling quite well. The X1600 PRO now costs $45 a chip and this means that you can expect that those cards will cost less than we all expected. That cannot be bad for end users but ATI will earn less that it originally planned.
[L'Inq]