They performance about the same, but frankly, neither is worth $300. 1GB of ram don't make a difference until extreme resolutions, when 512mb of onboard ram for other cards runs out.
the 4870 all the way, the 260 would be a close second and that is considering its still more expensive than the 4870 in the uk. the 9800gx2 has problems with low dips during game play so i would stay away from that
You can get an EVGA 260 from NewEgg for $239 after rebate. I'd go with that.
The 4870 is just a 4850 with better ram and overclocked core.
Other notes:
$99 for a 9800gt @ tigerdirect. You could get two for $200. It will stomp out the 260 and hd4870 performance wise hands down for less money.
$139 after rebate for the hd4850 @ newegg. You could get two for $280, which meets your $300 budget, and hands down, stomp a 260 and stomp an hd4870 performance wise for the same cost.
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