Nvidia Cuts GTX 260/280 Prices, XFX Offers Cash-back

In response to competition from AMD/ATI unit Nvidia has slashed the price of its new GeForce GTX 260 and 280 graphics processors. The new pricing comes only a few short weeks after it launched the chips, a move that has left many Nvidia loyalist displeased.

Nvidia said Sunday night that the GeForce GTX 280, which was originally $649, will now be available for $499 and the GTX 260 previously priced at $399 will be available for $299.

The sudden price drops have angered many consumers, with bulletin boards and forums being hit with tons of complaints. Price drops are to be expected however not this large and this quickly.

In a very classy move, graphics card manufacturer XFX has decided to refund some of the purchase price. XFX announced their GTX Cash Back program

Being the First Has Its Rewards
If You’re an XFX GeForce® GTX 280 or GeForce® GTX 260 Owner
Being the first to do anything is a rewarding experience. And now, if you were one of the first to purchase one of our XFX GeForce GTX 280 or GeForce GTX 260 graphics cards, there’s another potential reward in your future—cold hard cash*.

Sudden changes in the market have caused the price for the XFX GeForce GTX 280 and the XFX GeForce GTX 260 to drop. As a result, we want to thank you for your continued loyalty and for believing in the XFX brand. And, to show our commitment to you, we are issuing up to $120 CASH BACK to customers who purchased one of these cards between June 16, 2008 and July 11, 2008. The actual amount of cash back will be determined based on the model purchased, as well as the date and price of the purchase.

All I can say is kuddos to XFX for backing your customers! And bravo to ATI/AMD to taking it to Nvidia and putting a great deal of pricing pressure on them.