It seems like we are going back and forth, in circles. Following our story yesterday on recent rumours suggesting Nvidia’s partners discontinuing the GTX 260, 275 and 285 cards, Bright Side of News is now reporting that the AIB partners unanimously claim there is no truth in these reports, and the GTX 200 series cards in question will continue to be mass-produced.

More details next page.

It seems like we are going back and forth, in circles. Following our

story yesterday on recent rumours suggesting Nvidia’s partners
discontinuing the GTX 260, 275 and 285 cards, Bright Side of News is now
reporting that the AIB partners unanimously claim there is no truth in
these
reports, and the GTX 200 series cards in question will continue to be
mass-produced.

Of course, we would not expect the partners to go out and say “We are discontinuing supply our products”, but their promptness in dismissing this rumour further continues the uncertainty over the GTX 200 series cards.

As of now, all three cards are widely available, but at absolutely uncompetitive prices with no response to ATI’s HD 5000 series. In fact, the prices have somewhat increased – indicating either an increase in demand or a sharp decrease in supply. Judging by the competition, we will assume this is caused by a supply shortage, something that has been widely rumoured. We will consider prices from Newegg and Zipzoomfly. The GTX 260 is selling for an average of $179, and a minimum of $165. These cards were available for $160 a few weeks back. Competing with the GTX 260 are the HD 5770 at $159 and the HD 4870 1GB at $149, with the cheapest 4870 at $140. Clearly, little reason to pick up a GTX 260 over a HD 4870 or a HD 5770.

GTX 275s are going for $229, cheapest being $219. Similar performing HD 4890 is available at $199 on average, cheapest being $189. In fact, super overclocked versions of HD 4890, which are faster than GTX 275, are selling for less than the reference GTX 275!

Moving on to GTX 285, it is clear that there are far fewer GTX 285s available than before. Most are available in the $350 range, with cheapest being the Sparkle GTX 285 on Newegg for $319. Again, this is clearly uncompetitive with the faster, cooler, more advanced HD 5850 at $259. However, the HD 5850 is still suffering supply shortages, and every time a 5850 pops up at retail, they are gone within hours.

The general trend is clear – instead of cutting prices, they are stagnating or increasing. Not the response you would expect to compete with the impressive HD 5000 series. Clearly, based on current prices, there is no reason to buy either the GTX 260, 275 or 285 over ATI competition, unless your daily usage absolutely requires CUDA.

Rumours aside, these price facts lead to the most likely conclusion that there are indeed supply shortages and Nvidia is refusing to cut price on components shipped to AIB partners.

If Nvidia really cannot afford to cut prices, the most sensible decision does seem to be discontinuing the products. AIB partners realize that at these prices, there will be little demand, and they would like to cut losses by not stocking uncompetitive products.

We will wait for further information/rumours, and keep a close watch on the price trends in e-tail.

Reference: Bright Side of News