Here's what this argument is all about:
So either your game works with shader model 3, or you don't use the features proposed in this thread by Leadwerks, and you're product will be more compatible with the smaller card models. Hopefully the Leadwerks engine will still run on the modest configurations.
The lowest possible card is in theory the GE Force 6800. A 7800 does pretty well, but the 8800 is so much faster than previous generations. It's not just hype, it really is worth the expense.
So either your game works with shader model 3, or you don't use the features proposed in this thread by Leadwerks, and you're product will be more compatible with the smaller card models. Hopefully the Leadwerks engine will still run on the modest configurations.