DigiTimes has a story on two new graphics chips that AMD is working on, though AMD has no comment on them, as is usual.  If the information is correct, the die will be shrunk to 55nm, and it will be DX10.1 and PCI Express 2.0 compliant.  The odd thing about this news is that there is no talk of a new high end graphics card to compete with nVIDIA’s 8800GTX and Ultras, and we are starting to hear rumours about nVIDIA’s new series already.
“AMD is planning two new graphics chips, the RV635 and RV620, upgrades of its entry-level and mid-range ATI Radeon HD 2000 series products, according to sources at graphics card makers.

The RV635 and RV620 are upgrade versions of the Radeon HD 2400 (R630) and 2600 (R610). The new chips will adopt a 55nm process, compared to 65nm of the previous chips, and will have core frequencies increased to 800MHz, noted the sources. The chips will be manufactured by Taiwan Semiconductor Manufacturing Company (TSMC).

In addition, the chips will also support DirectX 10.1, Shader Model 4.1 and PCI Express 2.0, while output will be upgraded to include Display Port, added the sources.

AMD schedules to provide EVT (engineering validation test) samples of the RV635 and RV620 chips in October and will launch in January next year. said the sources.

To provide a better product transition between the new and previous chips, AMD also plans to have the new chips use the same PCB design as the previous chips to lower the risk of overstock PCB inventory, noted the sources.

RV635 and RV620 will each come in XT and Pro versions. Although the official market names are not yet set, the sources predict the chips are likely to be named Radeon HD 2650 and 2500.

AMD declined the opportunity to comment on this report saying it cannot comment on unannounced products.”

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