ATI as known has started to reduce the prices of its current products but the drop is not that huge. ATI partner's and retailer's can drop the prices to get more competitive in the market but that would not happen until October.
Also it has recently confirmed that ATI's much awaited Next Generation graphic cards will come within this year, In October. That's a year later after the launch of its much successful Radeon 5000 series. The new generation cards will still be based on a 40nm process.
Two new codenames have also been found out, Turks and Caicos as these two cards which should replace Radeon HD 5670 and Radeon 5550 and 5400.
The codename of the cards which will replace the Radeon 5800 series is Cayman (Southern Islands should be a group codename for Radeon 6000 series) but reports say that the Cayman chip will not be introduced in the markets this year but we may see a launch together in October. ATI has also planed a dual-chip high performance card based on the Next Generation GPU's.