AMD (NYSE: AMD) doesn’t have a GPU to compete with Nvidia’s (NASDAQ: NVDA) lineup of Maxwell-based video cards, so the company is choosing to slash prices to compete.
The price cuts — which kicked in this weekend on major US retailers — see the price of the R9 290 dropping from $399 to $299 while the higher-end R9 290X gets a price cut from $549 to $399. Lastly, the lower-end R9 280X is now priced at $269 while the R9 285 is available now for $229.
These price cuts will have to sustain AMD through the holiday season and into next year when the launch of its next-generation card is expected.
But while both AMD and Nvidia are eager to release new cards to stimulate demand for their respective products, the problem is that software developers have yet to push current-generation cards to their limits. Niche markets such as multi-monitor and 4K gaming certainly push the high-end cards of today to their limits, many gamers simply don’t have a reason to upgrade their cards at the current time.