NVIDIA's Next Gen GPU Launch Held Back to Drain Excess, Costly Built-up Inventory?

[Totally]

Very valid point that kinda blows this news piece's whole argument out of the water.

It wouldn't work because oems wouldn't pay or charge what Nvidia wants. If by chance Nvidia did cut a deal unload the rebranded GPUs, savvy buyers would scoop them up while they are on the cheap indirectly causing the exact scenario Nvidia doesn't want.
Most likely these are to be crippled, and packaged as a limited-market release version lesser card that sells e.g. if these were 1080tis they be crippled to the neighborhood of
1070/1070ti performance and sold only in China.

 

[scevism]

Greedy Fail.

 

[Fluffmeister]

Greedy Fail.

Never take life seriously. Nobody gets out alive anyway.

 

[RH92]

When the crypto blows, there will be 5 million cards flooding the marked, not just 0.3. so my guess is 1080ti at 199$ is acceptable. if mined with 3 month remaining warranty 99$.

You can always dream i guess .... I mean seriously that won't happen for many reasons . First of all crypto will never blow , even if Ethereum blows peoples have many other coins to mine and when one of those coins gains popularity is the same story all over again . Secondly you wont see 1080ti at this price because peoples are not stupid and most important Nvidia cards have always good resale value , most likely Next Gen xx70 will bring 1080Ti performance for around 400 - 500$ so expect used 1080Ti's around this pricetag .

 

[Casecutter]

It wouldn't work because oems wouldn't pay or charge what Nvidia wants.

I'd agree OEM's HP, Dell, Lenovo I'd see wanting say GP107 based cards (GTX 1050) or if Nvidia has a 'boat load' of gp106 I could see them gelding those further as say a GTX 1055Ti for OEM's, but do they have such an opportunity as wouldn't such chip's already "gelded, assigned the variant ID' and packaged before going to a AIB? These are not 'binned' or un-assigned holdbacks... these left Nvidia as a marked chip.

As to the gp104 those are only something Alien brand, Asus ROG, or boutique builders could move, and those don't have near the volume.

 

[Paganstomp]

 

[Gasaraki]

Man you people need to think with your brains and not this one person writing this article and then believing what he's saying. 3 top vendors sending back "300,000" "GPUs". Why? We just came out of a low stock point where prices are finally stabilizing but this guy is saying that there's an overstock? OK...

So now there's no demand when there was so much pent up demand?
So now we are suddenly over supplied when we were under supplied just last month?
Why would the vendors just not sell the cards? Makes no sense.

The 1180 is coming out at end of July so...

 

[RejZoR]

When the crypto blows, there will be 5 million cards flooding the marked, not just 0.3. so my guess is 1080ti at 199$ is acceptable. if mined with 3 month remaining warranty 99$.

Everyone just thinks they'll get last gen top of the line for a bag of peanuts when some mining nonsense ends. Riiiight...

 

[Casecutter]

3 top vendors sending back "300,000" "GPUs".

according to Seeking Alpha, to a "top three" Taiwan OEM returning 300,000 GPUs to NVIDIA, and "aggressively" increased GDDR5 buying orders from the company

I took it as just "one" of the top 3 vendors sent back 30K...
We haven't heard if others are trying to juggle their inventories. This would indicate that particular AIB couldn't A) get enough memory to build them into cards; or B) felt they wouldn't burn through them fast enough without discounting, and that was something Nvidia couldn't acquiesce; while C) some mix in the middle.

Nvidia figures they can sell them fairly quickly as they are better positioned to 'strong-arm' enough GDDR fast and move them to other AIB's. Sure they could've helped with Rebates, but probably didn't want to upset other AIB's who have parts that wouldn't move if 'X' company is getting helped. So buying them back securing memory and then spreading them across all AIB's who would like to partake makes it more fair. And, Nvidia can manage allotment and better control the pricing, even if it comes to rebates they are equally disappeared for those that participate.

 

[Eric3988]

Once again AMD needs to step up and light a fire under Nvidia's butts so we can get those precious next gen GPUs in our hands. I'm happy with my Vega 56 but would of really liked if it pushed the envelope more.

 

[Patriot]

People need to stop reporting from the one article. That article is blatantly trying to lower nVidia stocks and at the very end they disclose that they have short stock on nvidia. So they are trying to lower nvidia stock so so they can make money.

https://seekingalpha.com/article/4182662-nvidia-appears-gpu-inventory-problem?page=3

Maybe, or they are saying they believe so strongly they are shorting it themselves.
But a valid point to bring up non-the-less.

SA seems to also be giving multiple viewpoints on this topic.
https://seekingalpha.com/article/4182761-another-reason-hedge-nvidia

They have also called out those shorting companies like Unifi in the past.

 

[goodeedidid]

Well just give me few 1080s if you don't need them Nvidia

I won't refuse

 

[Xzibit]

Well just give me few 1080s if you don't need them Nvidia

I won't refuse

The more you buy the more you save

 

[stimpy88]

So it's our fault (the gamers) that we are not getting new cards.

We are not rich enough to be buying the cards the miners have left for us, at over MSRP.

I'm so happy that we have nVidias "love" to keep us warm, while we wait.

 

[Basard]

They spend it as fast as they make it, and get addicted to it so fast that they assume it'll be the level of profit for all following quarters.

Sucks to be them, I have actually been shopping at Best Buy lately. 1070 FE for $400 a few weeks ago, and I just gotta EVGA 1080 there for $570 (which kinda sucks, but I wanted it for the weekend).

 

[efikkan]

Why don't they just release the next generation, and rebrand these chips as "GT" 11 series cards? They do that kind of thing all the time. It's just OEM. Let's be real here, nobody buying OEM will know the difference, and does it really matter what number is printed on it?

Nvidia is about to replace retail cards of GTX 1070, GTX 1080 and GTX 1080 Ti with "consumer Volta", which doesn't even overlap with the machines with OEM cards, so it doesn't matter at all. OEMs have slow upgrade cycles anyway, take one example, Dell just refreshed their Optiplex line, 7 months after Coffee Lake, and they're still offering the old one.

If an OEM returns 300.000 graphics cards, it's because they no longer sell machines with these cards, which means they are older cards (Maxwell and Kepler).

And contrary to what is implied in the article, this has nothing to do with mining.

 

[Fluffmeister]

Once again AMD needs to step up and light a fire under Nvidia's butts so we can get those precious next gen GPUs in our hands. I'm happy with my Vega 56 but would of really liked if it pushed the envelope more.

Yeah Vega 56 @ $399 is decent, but sadly that boat sailed, it certainly didn't set the market alight despite the ridiculous hype. The lack of competiton has been pathetic, it was so late to market i thought it must be epic, no sorry epyc!

I'm sure it's a fine card, but damn turn up on time.

 

[KevinCobley]

No chance of any new cards this year, none of the usual "tape out" reports, notifications in Futuremark, or "shipping documentation".
Not a single leak from any of the chip makers, OEM card makers, these are companies with many hundreds of employees they aren't the KGB or CIA.
The entire rumour market is based on people's fantasies, when a new product is forthcoming we will first see it in a Nvidia roadmap,
Jensen is a human headline, can't help himself when he has a new product forthcoming.
The next-gen card will be April-June 2019, Nvidia has slowed development, they have zero competition.
and are waiting for some momentum from AMD or INTEL.
The next sign of a new card will be big discounts on last gen cards, the GTX1080 dropping to $499USD, then to $450USD.
These price reductions will occur pre Christmas 2018 at $499USD to allow sellout of old stock at the Christmas binge,
then in February card prices make the final fall to $450USD when the consumer will know new cards are coming.

 

[lewis007]

I'm sure the Nvidia execs will find solace while they cuddle up to their sacks of cash.

 

[geon2k2]

if they really want to close the deal, they should put that r&d to good use and release a 1080 performance level at 1050 price level.

 

[efikkan]

No chance of any new cards this year, none of the usual "tape out" reports, notifications in Futuremark, or "shipping documentation".

Tape out of "GV102" and "GV104" was before last summer. The new cards are coming, returning OEM cards should have nothing to do with that.

 

[ppn]

I dont understand what GV102 tape out was there, the earliest rumor dates 2016.8.

...
The next sign of a new card will be big discounts on last gen cards, the GTX1080 dropping to $499USD, then to $450USD.
....

Well they are kind of dropping to 479 499 range right now with game included.

But expecting the 1160 to be the equal of 1070/80 that means it has to go down to 299$ before it makes sense..

 

[jabbadap]

I dont understand what GV102 tape out was there, the earliest rumor dates 2016.8.

Well they are kind of dropping to 479 499 range right now with game included.

But expecting the 1160 to be the equal of 1070/80 that means it has to go down to 299$ before it makes sense..

xx60s comes usually about 2-4 months after xx80s, so there's no need to go $299 before that. Most likely nvidia will just EOL those right after 1180 release anyway. But yeah remembering pascal release, there were excess stock of gtx980tis remaining, which were priced the same or less than gtx1070.

 

[cadaveca]

ONe of the top three OEMs returns GPUs to NVIdia… this OEM is most likely ASUS. So, ASUS returns GPUs to NVidia, and is trying to buy as much ram as possible to make cards with the GPUs they have kept...

How does this really have ANYTHING to do with NVidia? I mean, other than that they have to make a refund and have the GPUs sitting in a warehouse. Also, from what is said, it's bare GPUs and not complete cards, or the memory bit would not have been mentioned as its not relevant...

 

[efikkan]

I just want to point out that Asus is not a major OEM, they mostly sell retail boards. Major OEMs include (but not limited to) Dell, Lenovo, HP, etc.