Friday, June 7th 2019

MSI CEO: AMD Plans to Stop Being the Value Alternative, X570 Motherboards to be Expensive

MSI's CEO Charles Chiang, quoted by Tom's Hardware at COMPUTEX 2019, laid out what we were already seeing with motherboard designs from all vendors of AMD's X570-based motherboards: pricing is likely increasing across the board, and AMD's market positioning won't be of the alternative, lower-value brand.

As quoted, Chiang said that ""Lots of people ask me, what do you think about today's AMD? I say today's AMD is completely different company compared to two, three, five years ago. They have nice technology and they are there to put the higher spec with the reasonable pricing. But right now they say, "Hey Charles, let's push to marketing to the higher [end]. So let's sell higher-pricing motherboards, higher-spec motherboards, and let's see what will happen in the market. So I don't think that AMD is the company that wants to sell low cost here, low cost there." Which does make sense: AMD isn't in the position of the underdog anymore -at least technology and product-portfolio wise when it comes to consumer CPUs. With better products, comes a desire for higher margins, and a change in direction for a company that was basically forced to almost cut itself out of the market in terms of profits with its previous, non-competitive CPU designs.
Efforts to survive on AMD's part have been immense, with the company severely tightening its belt in all fields, including R&D, in the times leading to the launch of their previous-gen architecture, Bulldozer. And with the way that one architecture panned out in the market, AMD didn't really find a way to dig itself out of the trenches. No like it has with Zen: a lithe, small, highly efficient design that allowed the company to not only make up lost ground on technology and CPU performance but also on profits. That the company wants to price its products in higher segments, alongside their performance improvements and competitiveness against Intel's slow-moving lineup, makes all sorts of sense from a business perspective.
Charles Chiang said that there a multitude of factors contributing to the higher pricing of X570 motherboards: that AMD is planning to charge more for each chipset (compared to the ASMedia-designed X470), but also because of the integration of PCIe 4.0. PCIe 4.0 support has meant a higher-TDp chipset (which has required a throwback to the days of old with active cooling over AMD's chipset, which has increased its TDp up to 10 W compared to the previous gen's X470's 3 W); and because PCIe switches are another best entirely in terms of complexity and power delivery capabilities. All of these add cost, and this cost will end up being passed on to end users (at least partially): as it always is. Source: Tom's Hardware
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151 Comments on MSI CEO: AMD Plans to Stop Being the Value Alternative, X570 Motherboards to be Expensive

#1
ZoneDymo
Can you imagine Intel being the value option...
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#2
phanbuey
2019 going on 2006

ZoneDymo said:

Can you imagine Intel being the value option...
" That being said, our overclocked E6300 was able to equal and in all cases but one outperform AMD's Athlon 64 FX-62. In fact, in quite a few benchmarks, the overclocked E6300 is essentially out of reach of anything AMD can offer with their current K8 designs. At $183, the value here is tremendous, and if you're willing to overclock the benefits don't get any clearer than that. "
https://www.anandtech.com/show/2051/12
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#3
dirtyferret
As long as performance meets price, meets demand, there is nothing wrong with that...its just when it doesn't....
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#4
Eskimonster
If the support is premium for the quality stuffs sold is there no arguments from me, i dont mind paying a bit more for my merchandise with a service included.
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#5
xkm1948
Still waiting for Zen2 based TR3. Come on AMD!
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#6
raptori
More like MSI plans to ... nice try CEO.
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#7
RH92
ZoneDymo said:

Can you imagine Intel being the value option...
Well it all depends , if AMD gets too cocky that could definitely happen but yeah let's hope AMD aren't stupid enough to take this path !
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#8
brian111
As even an AMD rep was reported to say during Computex, unless you are interested in PCI Express 4.0 it makes sense to get a X470 or B450 motherboard from a value perspective. Beyond that, I'm sure the X570 motherboards will begin to come down in price (to a degree) the longer they are out, as always.
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#9
NdMk2o1o
brian111 said:

As even an AMD rep was reported to say during Computex, unless you are interested in PCI Express 4.0 it makes sense to get a X470 or B450 motherboard from a value perspective. Beyond that, I'm sure the X570 motherboards will begin to come down in price (to a degree) the longer they are out, as always.
On that note, do you know if there has been official confirmation of a b550 chipset for Ryzen 2? can't say I recall seeing anything and I would have thought they would have been announced by now with the release being 1 month away
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#10
brian111
NdMk2o1o said:

On that note, do you know if there has been official confirmation of a b550 chipset for Ryzen 2? can't say I recall seeing anything and I would have thought they would have been announced by now with the release being 1 month away
The only thing I heard in particular was that they won't be out for a while, possibly next year. Nothing beyond that.
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#11
bogami
So, MSI decided to Increased prices !, of the new chipst X570 matherboards and wait for what's going to happen !. Basically it could be as good as the previous generation, but this is not enough profit for them, which only gained higher operating temperatures ! (which is essentially large bad, for mor mony). They will definitely justify the price with a loud fan .I suggest a deliberate blockage of the purchase from consumers , until they reach the real ground prices with the MSI X570 chipset motherboards ! This is bare extortion in any book . yes, my money will go elsewhere, it looks like it . And also a proposal for a purchase !
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#12
Basard
ZoneDymo said:

Can you imagine Intel being the value option...
Not really.... More like the over-priced, under-performing option. At least that's how it was at the turn of the century.
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#13
dicktracy
That's what I've been saying...
If AMD loses, their fanbase loses.
If AMD wins, their budget-minded fanbase also loses because they will start charging @ Intel prices (just like they did when they actually had the performance crown with Athlon 64 days).
I also doubt we'll see a 64 core TR if Zen2 REALLY matches Skylake outside of useless CInebench.
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#14
zlobby
If I recall correctly even X370, X470 and X399 boards were expensive AF upon launch. Heck, even now ASUS' top ZENITH and Crosshair cost a small fortune.

I also believe people still prefer budget solutions, judging from the interest in the smaller A- and B- series chipsets, which should signal OEM/ODM/etc. something.

Someone's business strategy may well be a bullet in their foot, if they get too greedy.
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#15
olymind1
NdMk2o1o said:

On that note, do you know if there has been official confirmation of a b550 chipset for Ryzen 2? can't say I recall seeing anything and I would have thought they would have been announced by now with the release being 1 month away
What i would like to see is that B550 boards also would have PCI-E 4.0 support, but only for the 1x PCI-E x16 for the VGA and 1x PCI-E x4 slot for an NVMe SSD, whiches' controllers are included in the processor anyway.

For my preference and price range i don't need anything extra, 1x PCI-E x1 for my sound card, and 6 sata connectors and a few USB ports. For those a PCI-E 3.0 capable B550 chip is more than enough i think.
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#16
NdMk2o1o
I expect there to be a large selection of x570 motherboards starting at quite low prices, say at the top end of b550 boards (if they actually come into fruition) with incremental incrseases from your lower end, mid range high end and enthusiast, then you have the ridiculous watercooled all singing all dancing premium £1.5k boards that about 10 people will buy :P
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#17
MAXLD
olymind1 said:

What i would like to see is that B550 boards also would have PCI-E 4.0 support, but only for the 1x PCI-E x16 for the VGA and 1x PCI-E x4 slot for an NVMe SSD, whiches' controllers are included in the processor anyway.

For my preference and price range i don't need anything extra, 1x PCI-E x1 for my sound card, and 6 sata connectors and a few USB ports. For those a PCI-E 3.0 capable B550 chip is more than enough i think.
Y. B550's are basically what will dictate if X570's are even worth considering. If they do the same as B450, with boards having good enough VRM/phases, good looks, and whatnot, then most of the 3600X/3700X people will just get a B550 and be happy with it. (I think even if they shipped with current PCI-E 3.0)

Then again, if those nice mid-X570 boards like the Gigabyte X570 Aorus Pro arrive at around $170~$180, then I think people might make the effort. The VRM/phases on those look really solid, according to Buildzoid.
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#18
zlobby
NdMk2o1o said:

watercooled all singing all dancing premium £1.5k boards that about 10 people will buy :P
I really lol'd and scared the bejeezus of my hamster, Maverick! :D
Posted on Reply
#19
tigger
I'm the only one
phanbuey said:

2019 going on 2006


" That being said, our overclocked E6300 was able to equal and in all cases but one outperform AMD's Athlon 64 FX-62. In fact, in quite a few benchmarks, the overclocked E6300 is essentially out of reach of anything AMD can offer with their current K8 designs. At $183, the value here is tremendous, and if you're willing to overclock the benefits don't get any clearer than that. "
https://www.anandtech.com/show/2051/12
I got a E6300 to 3.9ghz on air
Posted on Reply
#20
bug
This should be a reality check for those that thought AMD was undercutting Intel's prices out of the goodness of their hearts. But it won't be.
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#21
danbert2000
I see no issue with AMD wanting top dollar for their chipset that beat Intel to PCIe 4.0. Especially considering that they're not forcing people to adopt X570 to use Ryzen 3000 CPUs like you know Intel would have. You can get a cheap B450 board and still be able to get top performance with M.2 NVMe, a high-end GPU, and a 12 core processor. I don't understand what people are complaining about here. If you don't want to pay the high price, then don't. Expecting everything that comes out from AMD to be budget priced is toxic to the concept of technological advancements. Rich enthusiasts can buy the X570 boards, and everyone else will benefit from the profit margin on those boards when AMD puts that money towards R&D. We're not actually missing out on anything, people. If you must overclock to the max and have your PCIe 4.0, pay for it.
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#22
bug
danbert2000 said:

I see no issue with AMD wanting top dollar for their chipset that beat Intel to PCIe 4.0. Especially considering that they're not forcing people to adopt X570 to use Ryzen 3000 CPUs like you know Intel would have. You can get a cheap B450 board and still be able to get top performance with M.2 NVMe, a high-end GPU, and a 12 core processor. I don't understand what people are complaining about here. If you don't want to pay the high price, then don't. Expecting everything that comes out from AMD to be budget priced is toxic to the concept of technological advancements. Rich enthusiasts can buy the X570 boards, and everyone else will benefit from the profit margin on those boards when AMD puts that money towards R&D. We're not actually missing out on anything, people. If you must overclock to the max and have your PCIe 4.0, pay for it.
Well, backwards compatibility may look nice on the box, but it's always a bitch. Look at iOS: it says it will keep your phone updated forever, but you hear all the time complaints from people for getting the new OS version, but not all the features on older hardware. And there are real hardware limitations that prevent offering some of the features. And iOS is just software. AM4 is no different: the socket is reusable, but some features, like PCIe 4.0 are not.
No matter how you go about backwards compatibility, there'll be those that see it as a boon and others that will see it as a ruse.

You're spot-on about having to pay top-dollar for top-tier products though.
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#23
GoldenX
Meh, I don't care about PCIe 4 anyway. Nothing that has the power to justify being on it is going to be cheap anyway.
Show some more performance numbers, AMD.
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#24
bug
GoldenX said:

Meh, I don't care about PCIe 4 anyway. Nothing that has the power to justify being on it is going to be cheap anyway.
Show some more performance numbers, AMD.
I'm thinking with lane splitting and everything, you could connect several NVMe drives directly to the CPU. But we'd need NVMe PCIe 4.0 x2 drives instead of the current 3.0 x4 drives first.
Posted on Reply
#25
GoldenX
bug said:

I'm thinking with lane splitting and everything, you could connect several NVMe drives directly to the CPU. But we'd need NVMe PCIe 4.0 x2 drives instead of the current 3.0 x4 drives first.
More, faster swap for the Swapgod.
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