The cost of the top tier card (Adjusted for inflation) has been averaged $700 since the year 2000. ... nothing new here.
https://www.hardocp.com/news/2017/03/10/some_perspective_zarathustras_nvidia_price_history
The RTX 2080 has MSRP of $700, but this time, upon release it's not the top card. And AIB partners are asking a $130 premium, far more than the $20 we are used to seeing. So what can possibly be laid at the feet of this generation's pricing ? Some things that have potential impact.
1. We have a watershed moment right now in gaming whereby nothing can drive the new 144 hz 2160p HDR panels to the extent (say 70% of games in TPUs test suite / 90% for the Ti) that gamers want. If you want 1 of these panels, and you want to play > 60 fps you really don't have an option.
2. If you playing at 1440p, you really don't need anything more than a 1080 Ti; If you playing at 1080p, you really don't need anything more than a 1070....or likely 2060
3. AMD doesn't have a horse in the race from the 1060 on up . If you buy a 10xx card or you buy a 20xx card, nVidia doesn't care. The 2080 is 50% faster than anything AMD has to offer. The Vega 64 Strix is $569... assuming the 2080 Strix matches the competition's price of $829, that's a 45% increase in price for a 50% increase in performance... in other words ... a positive ROI. hard to argue that there's competition there, nvidia's just competing with itself.
4. We have a glut of 10xx series cards already in the US from pre-tariff days. What impact, if any, are the tariff's having on 2xxx series pricing. Not a question anyone seems to want to ask. Just read that the new round of tariffs was dropped to 10% till after the elections / holidays and going back up to 25% in January. Adding 25% to $700 is +$175.... adding 10% is $70
5. It's new it's shiny, it's going to be desired by the "I need to be the 1st one on my block to have the new shiny thing" crowd. Partners and vendors will tweak pricing to meet the supply and demand curve.
6. Capitalism, it has a definition. Read about corporate leadership's responsibility to shareholders to maximize profits. They have a fiduciary duty and can be removed and even prosecuted for not making sound business decisions. This isn't little league where the coach puts in the 2nd string when they have a 10 run lead.
7. Whether it's basketball shoes, cell phones, or PC components, we live in a world where how you measure up is a status symbool... "mine's bigger". On one hand you can argue does it really matter if you finish running a mile 2 seconds faster with a pair of $300 running shoes ? OTOH, yes, it certainly does matter if you finish 2 seconds slower, and the guy who finished 2 seconds faster gets the college scholarship to the track team instead of you.
The point is, nVidia is in a very enviable position.... When AMD was competitive in the 2nd thuy 4th tiers, they could under price nVidia by $20 and claim the "better value" argument. They have not been competitive for some time now leaving nVidia with the option to do what they want. Like the folks burning their Nike's, they don't care of you buy a 1080Ti instead of 2080 ... their margin is the same if not better. Nike's doesn't seem to upset over the burnings ... profits are up 31%, ... and nVidia wont be upset if folks clear out that giant unsold stock of 10xx series cards.,,, not like there is a sensible alternative from the competition. They will certainly make more money if those warehouses get emptied out. When that happens, I expect we'll see a significant price decrease.
