I can say from experience as that's what I upgraded from. I had a 7900GS oc'd to 600/800, played most newer games at 1600x1200 medium/high settings with no AA/AF and got ok frames. Now with a 8800GTS 512mb, I play all games(besides Crysis) at 1600x1200, max detail, 16xAF and 4-16xAA and it's not even a struggle. Don't have to even oc for most games, or not that much. Only games I'm pushing it to the max are Crysis and Call of Juarez DX10, but still playing them 16x12 everything on high.
I don't have exact game benchmarks, but I know I got 5,781 in 3dmark06 with the 7900GS at 600/800. With the exact same system and the 8800GTS, I got 12,081 at stock clocks, 14,050 at it's best oc. So it is indeed a huge upgrade, and you can get them for under $300 now.
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