There are a hell of a lot of people who simply won't spend $300 + on a video card. This is where AMD will do very well. I'm a bit fed up with the cost of high end video cards.
Are you fed up with the price of a top end BMW too? Would you rather all cards perform at the $300 or less price point and not have that upper market just because it makes you feel bad?
The reason high end cards have gone up in price (even your beloved AMD did this) is they have to do so much more than they ever used to. Don't get me wrong, we did have a holy grail period when the FPS/$ was stupidly good for the monitors that existed. However, that was just a bit of luck. As resolution increases and requirement for detail increases...the amount of horsepower required did not scale in a linear fashion....not even at the old fashioned "double it every 3 years". This almost required video card makers to put in more than expected. While $600 for a top end card is a "bit high"...in reality, it isn't that far off considering what is on there.
Fuck, if Intel was scaling over time at the same performance rate as graphics processors...my mind would be boggled.