Nvidia Overestimated Bitcoin Mining Demand, Stuck With Excess GPU Inventory: Report
Thursday, June 21, 2018 IST
HIGHLIGHTS
*Nvidia apparently has a surplus of current generation GPUs
*This has resulted in the delay of launching new ones
*A top OEM has reportedly returned 300,000 GPUs to Nvidia
At Computex 2018, Nvidia CEO Jen-Hsun Huang announced that the company would not be launching any new GPUs for "a long time". Perplexing when you consider that the GeForce 10 series of cards have been around for two years. Now we know why. It seems that Nvidia is stuck with excess inventory of 10 series cards due to overestimating the bitcoin mining GPU demand and the demand from gamers. So much so that one top Asian OEM partner reportedly returned 300,000 GPUs to Nvidia. According to a report from SemiAccurate (paid subscription) via Seeking Alpha, Nvidia also aggressively bought GDDR5 that it now has in excess stock of lower-end GPUs that need to be made into boards.
"Nvidia has overestimated pent-up gaming demand and underestimated the impact of declining mining demand," claims Seeking Alpha before going into details on the state of GPU supply from Nvidia.
"How badly have they miscalculated? Enough to have to agree to take back 300,000 GPUs from a 'top 3' Taiwan OEM. This is quite notable news as Nvidia usually exerts massive influence over its partners and can be quite ruthless with allocations of new GPUs if partners step out of line. The fact that this partner returned these GPUs says a lot about the current state of supply in the channel."
That said, we won't be surprised to see Nvidia launch something this year, if for any reason but to stay relevant. There's proof of a launch in the works with Nvidia signing a deal with memory giant SK Hynix that could include GDDR6 memory supply for future GeForce cards.
Plus, cooling fan manufacturer Power Logic has stated it expects shipments to increase in the third quarter. The company makes fans used by global graphics card brands so it probably has an idea of Nvidia's roadmap, particularly with the rumoured GeForce GTX 1170 and 1180 GPUs.
Power Logic Chairman Hsu Wen-feng specifically called out the Asian Games 2018 in August as a possible tipping point for greater demand, perhaps hinting at when Nvidia may just announce its next-generation GPUs in August. Hopefully they won't be priced as badly as 10 series GPUs are right now, forcing Nvidia to sell its current range on its own website to undercut OEMs in markets like India.
Related Topics
Related News & Articles
HIGHLIGHTS
• Both laptops use the AMD Ryzen 5 3350H CPU and Radeon RX 560 GPU
• The...
Recently posted . 809 views . 3 min read
The new HTC Exodus 1s can run as a Full Bitcoin Node and will be able to validate and enable Bitcoin transactions without third-party involvement.
Recently posted . 642 views . 1 min read
Even though the new Ryzen 4000 APUs do not integrate Navi iGPUs, the performance gains are quite substantial, at least when compared to the previous generation. Acc...
Recently posted . 554 views . 3 min read
Preliminary specifications and performance stats of Nvidia’s latest high-end graphics card, the Nvidia GeForce GTX 1170, based on the Turing 12nm process tech...
Recently posted . 698 views . 2 min read
The ROG gaming laptop range has been updated with the new Nvidia GPUs and three new gaming desktops have also been announced.
Recently posted . 738 views . 1 min read
Trending News & Articles
Tata Harrier’s three-row seat version in works, details out
Recently posted . 2K views . 0 min read
Rolls Royce cars are extremely luxurious. While there are many expensive pieces of equipment in Rolls Royce cars, their most relaxing feature is the silence that ...
Recently posted . 2K views . 2 min read
The following list of India's Top 5 Mobile Charger manufacture Brand 2019
Recently posted . 2K views . 0 min read
XUV300 is the latest entrant in the compact SUV segment.
Recently posted . 2K views . 0 min read
More in Electronics & Gadgets
Uber may have been secretly recording your iPhone screen, even when the app is closed. Will Strafach, a New York-based security researcher, discovered that the taxi...
Recently posted. 646 views . 9 min read
Google has, more and more, attempted to offer public figures a chance to manage their own Google results — and in this case it appears to be trying to have ...
Recently posted. 696 views . 1 min read
Google Pay (earlier named Tez) has recently rolled out the ability to book train tickets in India straight from the app – both on iOS and Android. The money w...
Recently posted. 901 views . 1 min read
Recently posted . 942 views
Recently posted . 777 views
Recently posted . 1K views
Recently posted . 1K views
Recently posted . 1K views . 112 min read
Recently posted . 965 views . 52 min read
There is nothing like a good old-fashioned competition to keep things interesting. In the level measurement world, that rivalry is between the two most common...
Recently posted. 710 views . 1 min read
Samsung announced the Galaxy Fold earlier this year, then realized the product was not consumer-ready, redesigned it, and now it is officially on the market again. ...
Recently posted. 647 views . 2 min read