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The lowered profit forecasts are due to the success of the Radeon HD4xxx series, which is indisputably the most value at every price point. The $299 MSRP HD4870 gives 90% of the performance of a $649 MSRP GTX280.

When the 4870X2 is released soon, AMD will offer the best absolute performance on a card too, again cheaper than the GTX280. Nvidia can't offer anything better due to heat, yield and cost reasons.