As we have seen from past events, the graphics industry is nothing less than brutal. In the wake of what remains, we ask Rene Froeleke, Technical Marketing of ATi Europe, to slow down and give his thoughts on what's been going on lately.
Customers know exactly what they want and how much they are willing to pay for it.
The higher the price, the smaller the addressable customer base. No company in the PC graphics business will be able to drive sky-high margins all of a sudden just because one competitor dropped out. So to answer your question, I don't think this will affect the price policy of any company in this market. RF - I am very confident that we can keep pace. Our Radeon is widely accepted as a high-performing and feature packed graphic chip and we will continue to deliver products that meet the customers demands.