Nvidia vastly overestimated gamer and miner GPU demand

[Bagpuss]

£400 - still not sure I would give up my 980 now and stop waiting for the new cards

You'd be mad to pass up a 1080Ti for £400.

It will still be running games at a minimum 1440p, 60fps, max settings in two years time.

[DanceswithUnix]

It will still be running games at a minimum 1440p, 60fps, max settings in two years time.

When the drivers stop getting updated

[CAT-THE-FIFTH]

You'd be mad to pass up a 1080Ti for £400.

It will still be running games at a minimum 1440p, 60fps, max settings in two years time.

Not if Nvidia starts rolling out RTX. Apparently only the Titan V has hardware support,so it will be interesting to see what performance penalty there is in software mode.

[gordon861]

You'd be mad to pass up a 1080Ti for £400.

It will still be running games at a minimum 1440p, 60fps, max settings in two years time.

But as stated, I expect a lot of the people holding on for a new card are planning a future upgrade to 4K, a 1080ti might get me there with current games but would still be struggling. Until recently I was running an i5-2500K with a 980, now running an i7-8700k with the 980, it would be a shame to skimp on the graphics card and buy old tech now and struggle when I finally buy a 4k monitor.

[Gunbust3r]

It's simple Nvidia, those of us who waited through crypto price apocalypse have shown we can keep waiting for your new model. If you want to move those 1080 Ti's we'll take them but lets see a 25 to 50% price cut

[Ttaskmaster]

How much do these things cost to make, anyway?

[CAT-THE-FIFTH]

How much do these things cost to make, anyway?

Nvidia apparently has higher profit margins than Intel now(!),and its generally increasing. So whatever they have done in the last few years,has meant they are making more per card than anytime in their history:

https://ycharts.com/companies/NVDA/gross_profit_margin
https://ycharts.com/companies/NVDA/profit_margin

[Ttaskmaster]

Nvidia apparently has higher profit margins than Intel now(!),and its generally increasing. So whatever they have done in the last few years,has meant they are making more per card than anytime in their history:

OK, so they could prooooooooooooooobably manage to drop a 1080Ti to £150 and still make money, while shifting their stock of shame?

Cool - I'll take four!!
I assume my motherboard has quad PCI-E.... although, saying that, I didn't realise it has no eSATA in the I/O. I dunno... It'll never happen and I can't be flipped to go look it up.

Still.... I have always wanted a reason to buy one of those cool EVGA SLI-bridges!!

[CAT-THE-FIFTH]

OK, so they could prooooooooooooooobably manage to drop a 1080Ti to £150 and still make money, while shifting their stock of shame?

Cool - I'll take four!!
I assume my motherboard has quad PCI-E.... although, saying that, I didn't realise it has no eSATA in the I/O. I dunno... It'll never happen and I can't be flipped to go look it up.

Still.... I have always wanted a reason to buy one of those cool EVGA SLI-bridges!!

I think if it dropped to £150,I think every gamer I would know would buy one,even the ones who just upgraded their graphics cards!!

[EvilCycle]

Now if only SLI was optimised better over more titles, with prices dropping I would be tempted to add another 1070 to my rig. But SLI is just not worth it, neither is upgrading to a 1080ti as I don't game in 4k, so the next logical step for me would be an 1180 (and upgrade my monitor maybe) if it has hardware RTX support. But if it comes out at over £700 they can stick it up their behind and I will wait for something like a 1270 instead.

[Iota]

Hmm.

I can't imagine why they don't sell. Wait, yes I can.

Founders Editions GTX 1060 - £279.00 (aftermarkets retail between £233 - £341)
Founders Edition GTX 1070 - £379.00 (aftermarkets retail between £389 - £539)
Founders Edition GTX 1070Ti - £419.00 (aftermarkets retail between £399 - £561)
Founders Edition GTX 1080 - £529.00 (aftermarkets retail between £479 - £649)
Founders Edition GTX 180Ti - £679.00 (aftermarkets retail between £649 - £1019)

The difference between the MRRP on the Founders Edition and a good aftermarket version can be anywhere as high as 22% for a GTX 1060, 42% for a GTX 1070, 33% for a GTX 1070Ti, 22% for a GTX 1080 and 50% for a GTX 1080Ti. So all of that time where they limited stock pushing the prices up, alongside the increased prices we've seen at retailers due to supply and demand issues, then they wonder why the OEMs can't push out more stock to distribution and retailers?

Retailers are probably not going to take a loss on the stock they have (why should they?). Equally, why anyone would pay up to 50% more for aftermarket cooling or custom boards on a gpu that has been out for so long?

Also, when I could get a perfectly good aftermarket Vega64 card for less than a GTX 1080 for roughly similar performance, why would I touch an Nvidia card?

[Savas]

AMD, sort yourselves out, I'm jumping ship and once I do I'm not going to touch Nvidia for a decade in response to this stunt they pulled.

[ETR316]

And if you look real close, between those lines, you can see the real story:

Nvidia artificially kept production low to inflate prices, thinking the miner craze was going to last longer, even though anyone who spends literally an hour or 2 doing research could've told you it was going to take a dive and the card shortage wasn't because miners were buying them all, it's because stocks weren't kept full.

Yes miners used a lot of cards, a disproportionate amount, but if Nvidia had actually filled demand at the time, instead of trying to play silly buggers, they wouldn't be in this spot.

I would pay good money to see the reactions of whoever is in charge when they seen BTC prices collapse earlier this year, because that's when everyone realised the investment isn't going to get a return and stopped buying cards.

And, on the other hand, you are making wild assumptions.

[ET3D]

And if you look real close, between those lines, you can see the real story:

Nvidia artificially kept production low to inflate prices

Not sure how you can read that between the lines. If NVIDIA got 300,000 cards back, it means production was quite high. If anything, this indicates that stores, which are the ones making most of the profit from the price hike, are the ones creating artificial scarcity.

On the other hand, it's possible that these cards didn't even make it to stores. Big miners (such as farms) get large stocks of cards directly. It's possible that these cards didn't even make it to stores, but were stocked by mining card dealers and then returned when demand waned. If that's the case, moving them to stores would be the reasonable solution.

[aniilv]

"Strange" how its only NVIDIA

[CAT-THE-FIFTH]

"Strange" how its only NVIDIA

It happened to AMD during the first mining rush,and they had a large stock of unsold cards,which they had to discount and use promotions to sell. This time it seems they played it somewhat safe.