The ATI Radeon 5XXX Thread

[saaya]

does anyone else remember rumblings from investors after the 48xx launch? we're pricing this card too low? i believe this pricing scheme i aimed at returning investor confidence, and truly, if amd has a superior product they should be paid for it. that's business.

and those investors know more about running amd than amd does?
im not saying amd has been managed perfectly lately, FAR from it, but its ridiculous to think investors and analysts could do better...

you have to balance out demand, price per unit and units sold... investors arent happy that amd is losing money, but how retarded do you have to be to think the solution is to simply increase prices?

seriously its like they have no concept of commerce at all...

sure, lets them try how high they can price their cards and still sell some...
but im pretty sure if they price them as high as rumored lately, they will sell a lot less and overall make less profits than they would if theyd sell them cheaper...

if you increase the price by 10% and lose 10% customers as a result cause the pricing is too high for them, you actually make less money than selling it at the original price... if you reduce the price by 10% in most cases you end up with a more than 10% increase in volume, sometimes up to 30%... thats why the real money is being made selling mainstream and entry level parts aka juniper and below at tight margins, so why would ati price a highend part, which either way wont make them rich, at such high levels?

it has nothing to do with making money, if they price it that high its probably cause it costs them that much to make and theyd lose money if theyd sell it for less...