Wednesday, March 23rd 2022
NVIDIA: Gamers Spend $300 More on Ampere GPUs Than Previous Generations
NVIDIA at its Annual Investor Day announced that the company's coffers are in better shape than ever. And while the company has many baskets from which to pull proverbial profits, the company's gaming division remains its biggest source of income. On its presentation, NVIDIA clarified that gamers are spending on average $300 extra per desktop Ampere product compared to previous graphics product generations. That fact, the company says, has resulted in an average increase in product ASP (Average Selling Price) to the tune of 13% per year in the last five years.
Paired with the increase in graphics products' ASP (meaning NVIDIA brings in more money per sold graphics card) is an increase in the number of graphics cards shipped to customers - at a rate of 11% more graphics cards being sold annually. So NVIDIA is not only selling more expensive graphics cards; they're selling more of them as well. The company expects its financial results to keep steadily improving, even as more and more gamers join the fold. According to the company, the last five-year period saw an average of 50 million additional gamers entering the market per year - and there's no expectation of that figure slowing down.
While higher graphics card pricing is (clearly) good news for both NVIDIA and its investors, the same cannot be said for the consumers that are buying these graphics cards. After more than a year with a severe drought on the graphics card distribution channel and prices that saw a 300% cost increase over MSRP, it doesn't come as a surprise that gamers are paying more for Ampere (let's call it an Ampere tax) than for previous-generation products. However, it's highly unlikely that the average consumer would consider that as much of a boon as NVIDIA does.
Source:
NVIDIA
Paired with the increase in graphics products' ASP (meaning NVIDIA brings in more money per sold graphics card) is an increase in the number of graphics cards shipped to customers - at a rate of 11% more graphics cards being sold annually. So NVIDIA is not only selling more expensive graphics cards; they're selling more of them as well. The company expects its financial results to keep steadily improving, even as more and more gamers join the fold. According to the company, the last five-year period saw an average of 50 million additional gamers entering the market per year - and there's no expectation of that figure slowing down.
55 Comments on NVIDIA: Gamers Spend $300 More on Ampere GPUs Than Previous Generations
The problem is not the SRPs but that there's good chance that by that time we would have inflation again (assuming prices hit near SRPs by end of next Q)
What do you have now?
Seriously, imagine if this **** never happend and we had a 200$ Ampere card which everyone buys, giving 2070-2080 performance, just like with the Pascal cards. That's how I predicted the gpu future, very bright, only to get ripped off by a market crash, miners, scalpers, etc.
I guess you'll have to wait until 2023 that we'll have new models in this price category
They really don't know. They just know a GPU was purchased unless they sold direct to a mining outfit.
You know that, historically, GTC has never been about gaming cards. Always was targeted at data center and scientific pursuits.
I could comfortably buy a 3090 right now and I'd love to hav eone, but I won't pay those ridiculous prices. One of the reasons I have a big bank account are because I know when something is worth purchasing and when it's not, and the Ampere cards are priced way above their performance value.
I am getting very comfortable with the 2nd hand market on ebay for GPUs, mainboards, CPUs, etc. Gullible or undisciplined people can eat that over-inflated pricing, and I will just be patient and eventually pick something up reasonably priced. Got my 2080 Ti off of ebay with a pre-installed waterblock for $701 a year and a half ago. Just takes some patience.