I think nVidia should have raised the defualt clocks on the 260 GTX a little bit. They could easily make the 260 GTX outperform the HD4870 out of the box and it wouldn't cost them anything. They could then sell it at the same $299 price point.
They also need to release some lower end cards based on the GT200 cores, with some more pipelines disabled and lower memory busses. To help make a little money off the GT200's poor yields. So the cores that aren't perfect don't go completely to waste. A 240 GTX with 144 Shaders and a 384Bit memory bus. Perhaps redesign the PCB a little to make it cheaper and eliminated the unused parts of the memory bus. Make a card that is a little cheaper to produce, and one that is uses cores that essentially cost nVidia nothing since they were just going to be thrown away anyway.
Rig1: System Specs.
Rig2: A8-5600K@4.4GHz / AsRock FM2A75 Pro4 / 8GB Corsair DDR3-1600 9-9-9-24 / HD7560D / Samsung DVD-Burner / 1.5TB WD Green + 3x3TB WD RED in RAID5
Rig3: Athlon X2 4200+ / M4A79 Deluxe / 4GB G.Skill Pi DDR2-800 4-4-4-12 / GT430 / Sony DVD-Burner / 500GB WD
Rig4: Phenom II x6 1605T @ 3.6GHz / Asus M5A99X Evo / 8GB PNY DDR3-1600 9-9-9 / GTX470 & GTX470 / Samsung DVD-Burner / 1.5TB Seagate