AMD has announced a discount to three of its latest Graphics Core Next product lines, bringing the prices down in order to keep the pressure on long-time rival Nvidia.

Following the introduction of the AMD Radeon HD 7970 GHz Edition last month, AMD has dropped the suggested retail price of its standard Radeon HD 7970 boards to $429 in the US. The Radeon HD 7950, meanwhile, gets a similar price cut to $349. Both qualify for the company's 'Three for Free' promotion, providing buyers with three free games to show off the DirectX 11 capabilities of the boards.

At the lower end of the market, the AMD Radeon HD 7870 GHz Edition also gets a price cut, with the suggested retail price dropping below $300 for the first time - albeit, at $299, only just. As before, the Radeon HD 7870 GHz Edition comes bundled with a copy of DiRT Showdown while stocks last.

AMD's price cuts, which are already being reflected in the retail prices at on-the-ball outlets here in the UK, comes shortly after the company launched its Catalyst 12.7 drivers. With the new drivers installed, Radeon HD owners can expect significant performance boosts in popular games - including a claimed 30 per cent increase in framerate in Skyrim and Batman: Arkham City along with a 15 per cent boost in Shogun 2.

AMD's new pricing strategy for its boards makes perfect sense: with the recently-launched Radeon HD 7970 GHz Edition sitting towards the top at $499, the vanilla Radeon HD 7970 needed a price cut in order for it to remain competitive. With a leaked BIOS promising to turn the vanilla board into a GHz Edition, however, AMD potentially risks cutting into its more profitable sales with the new price point.

Thus far, Nvidia hasn't given any indication that it is to follow suit with a price drop of its own.

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