AMD RAISES PRICE FOR THE HD5870

[S&M]

The new video cards from AMD 5 Series, that were launched 2 months ago, are the only
video cards today to support the DirectX 11 Technology, As an answer from NVIDIA , is
expected to show up only at the beginning of next year , when NVIDIA is expected to
release its next gen video cards. this fact ,as well as some manufacturing and distribution
problems, are reflecting in a second rise in prices in the last month for AMD 5XXX video cards.

Just 3 weeks ago the company notified its manufacturing partners about a rise in prices for the new
video cards, and today we are hearing about a new rise in prices, as the company will charge an extra
10$ for the HD 5870 graphics card.

Sapphire, one of AMD senior manufacturing partner , if not the most senior partner , is the first company
to inform the company distributers about the new prices of the HD 5870 graphics card , as the rest of the
companies are expected to update their prices as well this week.

AMD is excusing this rise with some problems that the company is having due to higher component prices ,
such as the GDDR that the company is using in it's cards , as well as rise in some logistics costs that the
company is having, but it seems that the main reason for this step is the lack of competition from NVIDIA,
a fact that makes AMD feel very confident about this rise.

AMD is emphasizing that even with the last rise in prices, the company products still show the best price/perfomance
ratio in the market.

We find it important to remind you that manufacturing and distribution problems are not something new for
AMD , as we are facing these problems again and again with every new line of products from AMD ,back in
the days that the company was still called ATI.