I'm more concerned here about the decision to drop the Xbox platform, though I already have a hi-rez switcher into my entertainment system, so I could hang an XBox and an XBox 2 off of it easily. Yes, my two-year old daughter already knows how to work a Sierra (though unlike my 8 year old son she can't make it do what she wants).
This is capitalism. M$ is another consumer of ATI's products, just like you. Well, not just like you, unless your purchasing of their products can directly influence bottom line, stock prices, etc. If M$ didn't get better treatment than you & I then ATI wouldn't be fit to be in business.
All of that aside, by the time these are actually on the shelves, who knows?