Friday, July 7th 2023

EVGA Withdraws from the Motherboard Market?

In what could be the beginning of the end for EVGA after its spectacular withdrawal from the graphics card market that it held leadership position in; the company is reportedly winding down its desktop motherboard business, too. Korean overclocker Safedisc, writing on Coolenjoy tech forums, stated that the company's entire 170-strong workforce in its Taiwan office involved in the motherboard business, have resigned, including KINGPIN. EVGA could withdraw from the motherboard business just like it did with graphics cards—by halting sales and recalling products from the channel, and retaining them to serve as warranty stock in case existing customers claim RMA or warranty service. We have reached out to EVGA for comments.

Update 07:45 UTC: We've heard from workers at EVGA Spain "it's just another day at the office". So maybe it was only Kingpin/the OC team in TW that has resigned, or the whole story is completely untrue.

Update 16:41 UTC: We just received the following statement from EVGA:
We saw those message and they are rumors.
Our Taiwan office is still operating and Kingpin is still with EVGA.
EVGA is still doing business and supporting its customers.
Thanks for reaching out
Sources: Safedisc (Coolenjoy forums), Wccftech
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96 Comments on EVGA Withdraws from the Motherboard Market?

#26
megaclite
bugEVGA wasn't a volume seller, I don't even think they do/did business in the EU.
thats why company is bankrupt now
poor marketing & lack of distribution
Posted on Reply
#27
john_
AusWolfASRock, but they're a small fish in a big sea
I wouldn't consider ASRock a small fish. If the others are big wales, ASRock is probably an Orca.
The company that survives and keeps surprises me about that, is Biostar. Most times late to the party with graphics cards and motherboards, but there, keeps fighting all the big companies.
BwazeAs I see it, most people here actually buy the cheaper cards now - Palit, Zotac, Gainward, KFA2, Manli, PNY - you gain nothing by going "premium".
Premium died when Nvidia decided to make a gazillion of GPU models. I mean the period when we had for example GTX 1660($219), GTX 1660 Super($229), GTX 1660 Ti($279). I believe that's when Nvidia's AIBs started having a problem.
Let's take for example the RTX 3000 series. If you had an RTX 3060($329) and then jumping directly to RTX 3070($499), companies like EVGA had plenty of room to play ball with better models and make some nice profits. But with RTX 3060 Ti($399) in the middle, why buy a higher priced EVGA RTX 3060 instead of giving a little more and going for the cheapest RTX 3060 Ti? In the end these dense fragmentation of the market, helped big companies that could sell a gazillion of standard models at MSRP and Nvidia who could now make better profits from it's GPUs.
Posted on Reply
#28
TheDeeGee
BwazeAs I see it, most people here actually buy the cheaper cards now - Palit, Zotac, Gainward, KFA2, Manli, PNY - you gain nothing by going "premium".
PNY makes the Quadro cards for NVIDIA.

I simply went with a PNY 4070 Ti XLR8 because it has the best cooler out of all 4070 Ti's.
Posted on Reply
#29
megaclite
EVGA bankruptcy will be a big damage to enthusiast mobo market
Dark Kinping was the best board on Z690 while Anus made a defective Apex, Msi have underperforming Unify-X, Asrock with laughably bad and overpriced Aqua OC
Only Gigabyte Tachyon was comparable
john_The company that survives and keeps surprises me about that, is Biostar. Most times late to the party motherboards, but there, keeps fighting all the big companies.
Biostar has an opportunity to hire EVGA employees and finally make good motherboards again
Posted on Reply
#30
Bomby569
Honestly it never felt right to me all the excuses to leave the gpu market, sure it isn't money printing, but no one else is complaining and we even got more brands doing graphic crads after they left.
Next is the PSU's.
Posted on Reply
#31
gffermari
TheDeeGeePNY makes the Quadro cards for NVIDIA.

I simply went with a PNY 4070 Ti XLR8 because it has the best cooler out of all 4070 Ti's.
I would pay a little more for a ''better'' brand or a more beautiful cooler. But a premium 4080 costs much like a 4090...
So, consumers better buy a ''cheap'' big model rather than a premium mid one.
Posted on Reply
#32
Bomby569
gffermariI would pay a little more for a ''better'' brand or a more beautiful cooler. But a premium 4080 costs much like a 4090...
So, consumers better buy a ''cheap'' big model rather than a premium mid one.
hey, not sure what you meant by that, but PNY makes good cards and i even used their RMA and it was awesome. No complaints from me.
If you want to pay ASUS tax, be my guest.
Posted on Reply
#33
bug
Bomby569Honestly it never felt right to me all the excuses to leave the gpu market, sure it isn't money printing, but no one else is complaining and we even got more brands doing graphic crads after they left.
Next is the PSU's.
Apparently you won't put two and two together: right after EVGA calls it quits because they can't make a profit anymore, we get an entire generation that nobody wants to buy because of the high prices. You honestly think these aren't related?

If other partners aren't publicly complaining, that doesn't matter they aren't complaining (or worried) at all. The difference is Asus, Gigabyte, MSI are much, much larger than their GPU businesses. That can cushion them for a while.
Posted on Reply
#34
TF-GrayWizard
guess that explains why some of the new stuff like their PSUs has such bad warranty periods
Posted on Reply
#35
global
I hate this company. They cost me a lot of money.
Posted on Reply
#36
gffermari
Bomby569hey, not sure what you meant by that, but PNY makes good cards and i even used their RMA and it was awesome. No complaints from me.
If you want to pay ASUS tax, be my guest.
I didn't mean anything about PNY, Palit etc.
Just taking your case, to post my case which is similar.
I didn't pay the Asus tax and went for Palit 4080.

PNY is fine. Even my father had a PNY Quadro back then.

On topic, evga didn't produce motherboards for the masses anyway. Their MBs have been good, expensive but targeted a specific group of users.
Posted on Reply
#37
PapaTaipei
BwazeBoth Nvidia and AMD are saying that they are just following the rising cost of new processses.

As Jensen said:

"A 12-inch wafer is a lot more expensive today than it was yesterday, and it's not a little bit more expensive, it is a ton more expensive," "Moore's Law is dead … It's completely over, and so the idea that a chip is going to go down in cost over time, unfortunately, is a story of the past."

Lisa Su of course said AMD doesn't believe that, but also stated more or less the similar.

So welcome to the fixed or even rising price / performance with the new releases down the road. Are you excited about RTX 5070? You might as well buy an RTX 4080 right now, use it for two years , and when the RTX 5070 releases it will be barely faster than RTX 4080 AND MORE EXPENSIVE!
The die size is smaller nowadays especially if you do a normal chip with pure rasterisation and stop forcing people to use fake frames and RT. Even if the die price was 5x more today it does not mean a 300mm graphics card should cost 5x more today.
Posted on Reply
#39
Bomby569
bugApparently you won't put two and two together: right after EVGA calls it quits because they can't make a profit anymore, we get an entire generation that nobody wants to buy because of the high prices. You honestly think these aren't related?

If other partners aren't publicly complaining, that doesn't matter they aren't complaining (or worried) at all. The difference is Asus, Gigabyte, MSI are much, much larger than their GPU businesses. That can cushion them for a while.
what about the smaller brands? and the new brands that just came out since they left?
Posted on Reply
#40
bug
Bomby569what about the smaller brands?
Smaller brands are just regional subsidiaries of bigger groups. Look them up.
Bomby569and the new brands that just came out since they left?
Who came out? I can't name a single new player.
Posted on Reply
#41
TheinsanegamerN
The way I read it, this is more "EVGA employees with nothing to do resign". Remember, EVGA tried to lay off nobody as their GPU market imploded. That being said, if their motherboards do go away, it wouldnt surprise me, this entire affair seemed like EVGA's CEO wanted to wrap things up without wrapping things up.

As for GPU prices, remember that EVGA said cards like the 3050, 3060, and 3070 were all profitable to sell. It was ONLY the 3080 and 3090 which supposedly he couldnt make money on. They blamed nvidia for this, with nvidia setting MSRP and such, and not allowing them to go above a certain level (we're just gonna ignore how these cards all sold well over MSRP for YEARS during lockdown, including on vendor websites? K ). If there was no money in it, then asus/gigabyte/MSI wouldnt be rushing out 9 different models of these cards. Why would you make multiple SKUs, each with different board designs, coolers, ece if you were not making money on them? Something doesnt add up, and never did.

Of course, it seems like there was bad blood between EVGA and Nvidia, and EVGA had been dropping the ball lately, with multiple product recalls, QC failures, and the infamous exploding 3080/3090 fiasco, where 99% of failed cards were EVGA cards. They also WAY overstocked on GPUs, twice, for both the 1000 and 2000 series, and it seems they were doing it again with the 3000s. Corporate mismanagement seems to have been prevalent, eating whatever margins were left.
bugApparently you won't put two and two together: right after EVGA calls it quits because they can't make a profit anymore, we get an entire generation that nobody wants to buy because of the high prices. You honestly think these aren't related?

If other partners aren't publicly complaining, that doesn't matter they aren't complaining (or worried) at all. The difference is Asus, Gigabyte, MSI are much, much larger than their GPU businesses. That can cushion them for a while.
EVGA's claims never quite added up. If they lost money on 3080/ti/3090/ti tier cards, how were cards like the 3060 profitable (as they claimed them to be)? Given the price of these cards, short of paying 10x as much for one 3090 die or 7x for a 3080 die VS a 3060, there doesnt seem to be a way to make that math work. Furthermore, if the 3080 isnt profitable, why on EARTH did EVGA make 5 different models, each with their own PCB, BIOS, and cooler design? That's a lot of money to blow on a GPU that doesnt make you money. Just make 1, call it a day, and cut losses via manufacturing volume. Or just drop from the nvidia partner program, and only make 3050/60/70 tier cards that are profitable, and add a few high selling AMD models as well.
Posted on Reply
#42
holyprof
bugThose definitely went away, but who filled the void? I can't think of a single newcomer.

EVGA wasn't a volume seller, I don't even think they do/did business in the EU.
I bought my EVGA 1080 in a physical store (in Protugal, which is in the EU) with official warranty and it successfully registered on evga.com for the lifetive warranty with EU address. Sad to see them go out of business. Motherboards won't be missed as mich as their top-notch GPUs though.
Posted on Reply
#43
bug
john_Nvidia could undercut AMD and kill it. AMD just can't because

- Nvidia enjoys higher capacities than AMD from TSMC. Nvidia can flood the market with cheap GPUs, AMD can't, except if it decided to take capacity from Instinct, EPYC and Ryzen. Not gone happen for obvious reasons.
How do you figure that? They both compete for the same fab capacity, why would Nvidia inherently "enjoy" more capacity?
john_- Nvidia enjoys the marketing advantage and a much stronger brand. We see RTX 3050 selling much better than RX 6600 while RX 6600 is killing RTX 3050 in benchmarks. If AMD was lowering prices, Nvidia would follow. We see it now with RTX 4080. AMD in the end will manage nothing more than hurting itself. Nvidia will keep selling with lower margins, but still higher margins than AMD. AMD is at 50% profit margins, Nvidia will pass 70% if it hasn't done it already.
If Nvidia had such a big marketing advantage, then how was AMD able to move discussion away from their overall weaker GPUs towards "Nvidia is scamming you, because they don't give you as much VRAM"?

But I think I get it now. AMD is basically a saint, dying to give us cheaper products, but it is basically forced to sell for more by Nvidia. And it just happens they suffer the same on the CPU front. A true martyr.
TheinsanegamerNEVGA's claims never quite added up. If they lost money on 3080/ti/3090/ti tier cards, how were cards like the 3060 profitable (as they claimed them to be)? Given the price of these cards, short of paying 10x as much for one 3090 die or 7x for a 3080 die VS a 3060, there doesnt seem to be a way to make that math work. Furthermore, if the 3080 isnt profitable, why on EARTH did EVGA make 5 different models, each with their own PCB, BIOS, and cooler design? That's a lot of money to blow on a GPU that doesnt make you money. Just make 1, call it a day, and cut losses via manufacturing volume. Or just drop from the nvidia partner program, and only make 3050/60/70 tier cards that are profitable, and add a few high selling AMD models as well.
I think it adds up rather well if factor in 3080 and 3090 are not volume cards. It's harder to recoup the upfront cost on these.
Posted on Reply
#44
TheinsanegamerN
bugI think it adds up rather well if factor in 3080 and 3090 are not volume cards. It's harder to recoup the upfront cost on these.
So again, if that is the case, why bother making 5 different SKUs with 5 different PCBs and coolers and BIOSes, all of which require R+D funding? Why not make just 1 and leave it there?

To me, that screams either "poor business decisions" or "misplaced corporate pride".
Posted on Reply
#45
bug
TheinsanegamerNSo again, if that is the case, why bother making 5 different SKUs with 5 different PCBs and coolers and BIOSes, all of which require R+D funding? Why not make just 1 and leave it there?

To me, that screams either "poor business decisions" or "misplaced corporate pride".
I think that's the easy part. They've always had many model for the same GPU chip. Reference, SC (a mild overclock), FTW (a more serious overclock) and Kingpin (for pro-overclockers) is what I can name otoh. They either didn't foresee what was about to come or they did, but hoped they can at least move enough of the cheaper models to offset their costs.
Posted on Reply
#46
john_
bugHow do you figure that? They both compete for the same fab capacity, why would Nvidia inherently "enjoy" more capacity?

If Nvidia had such a big marketing advantage, then how was AMD able to move discussion away from their overall weaker GPUs towards "Nvidia is scamming you, because they don't give you as much VRAM"?

But I think I get it now. AMD is basically a saint, dying to give us cheaper products, but it is basically forced to sell for more by Nvidia. And it just happens they suffer the same on the CPU front. A true martyr.
You are ruining it again. Pity.
I am not replying. You win. The end.
Posted on Reply
#47
bug
john_You are ruining it again. Pity.
I am not replying. You win. The end.
Not my fault you consider conversations not ruined only when they paint AMD as some sort of a victim.
Posted on Reply
#48
ir_cow
Kingpin and his BIOS team IS the main MB team. Writing has been on the wall. No more video cards, MB team is leaving, Jacob works at NVIDIA now.
.
Can they make a comeback. Maybe, but pretty much bleeding all the talent.
Posted on Reply
#49
Chomiq
Didn't Steve from GN recently mention that Kingpin is no longer at EVGA?
Posted on Reply
#50
neatfeatguy
I don't see why folks are trying to fight here - just to say "Ha! I was right!"? Get over yourselves.

The way I see it, this means that there are fewer options on the market for the consumer and if things keep going this route we'll be down to fewer and fewer companies that manufacture these products and what happens then? I guess we can look at companies such as Intel (when they dominated the market and advancements in their field stagnated for years and prices were jacked for top-tier products) or maybe Nvidia (they dominate the dGPU market and it feels like another Intel situation waiting to happen). Less competition on the market isn't good for the consumer. If AMD hadn't been able to come back with their Zen lineup, where would have we all been with Intel still stomping all over with their tick-tock stepping stones and quad cores? Still there with their tick-tock model and quad cores....
Posted on Reply
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