NVIDIA CEO Comments on RTX 3080 and RTX 3090 Supply Shortages

[btarunr]

Shortages in supply of GeForce RTX 3080 and RTX 3090 graphics cards could persist until 2021, according to NVIDIA CEO Jen-Hsun Huang, responding to a question in a Q&A session of the GTC 2020 (Fall) conference. "The 3080 and 3090 have a demand issue, not a supply issue," said Huang. "The demand issue is that it is much much greater than we expected—and we expected really a lot," he added.

Jen-Hsun predicts that the Holiday 2020 shopping season will only compound availability woes. "I believe that demand will outstrip all of our supply through the year. Remember, we're also going into the double-whammy. The double-whammy is the holiday season. Even before the holiday season, we were doing incredibly well, and then you add on top of it the "Ampere factor," and then you add on top of that the "Ampere holiday factor," and we're going to have a really really big Q4 season." He likened the demand of the RTX 3080 to that of the Intel Pentium in the mid-1990s. "Retailers will tell you they haven't seen a phenomenon like this in over a decade of computing. It hearkens back to the old days of Windows 95 and Pentium when people were just out of their minds to buy this stuff. So this is a phenomenon like we've not seen in a long time, and we just weren't prepared for it."



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[Vya Domus]

Without actual numbers, this is pure hogwash. They just wanted to get these out before AMD, that's all.

 

[ZoneDymo]

Without actual numbers, this is pure hogwash. They just wanted to get these out before AMD, that's all.

Kinda this^, I would like to see some actual numbers of cards available and sold vs older generations.
Could very well be they actually made very few of these because they are more interested in selling their hardware in other (more profitable) markets.

 

[Vayra86]

First they want them out before AMD, then they are sitting on it for AMD... which is it guys, make up your mind.

Maybe, just maybe, fab capacity and even Samsungs 8nm are all rush jobs and tight on demand? You know, much like what TSMC has been showing us for years now. But I guess that would make too much sense.

Also... lol Huang. A demand issue is by definition a supply issue.

 

[fynxer]

OMG, Huang seems to think his customers are really stupid. There is no problem with supply and only shortage are due to the unprecedented demand?!

Well that is the problem you have when you totally underestimate the market and have way to little stock at release.

I would say demand is at least at minimum 25x higher than supply at the moment and demand will get higher closer to xmas.

You cannot blame scalps for the shortage since if there had been enuf stock scalping would not have worked.

Why not release numbers instead of hiding behind words, how many GPUs did they actual have available at release and what is the monthly output of GPUs from factory.

The BIG question is if this is deliberate market manipulation by Nvidia to drive up prices, they lower prices compared to last gen to peek interest and then do a release with starved supply.

I see retailers all over Europe pushing up prices by £50-100 on the 3080 depending on sku. It is like the mining shortage all over again.

We will also see hiked prices for the 3060 and 3070 partner SKUs at release. Biggest Swedish retailer already increased preorder prices on the 3070 SKUs with £50-70.

One last interesting thing is that Nvidia say they delayed the 3070 to have more stock BUT IT WILL NOT MATTER, ALL STOCK WILL BE GONE AT DAY ONE.

The 3070 delay is obviously due to AMD's GPU event at 28th of October, why else have the release the day after on 29th of October.

I really hope AMD made better market predictions and pushes out massive stock at release, this could be their chance to take a nice slice of the market before xmas.

 

[Bwaze]

"The 3080 and 3090 have a demand issue, not a supply issue."

How many cards were delivered to EU stores? Most of them, including the biggest ones (Mindfactory) haven't even added them to their pages, because in three weeks since the sales start they haven't received even a single card.

How is this a demand ussue, not a supply issue?

 

[BalaL]

If my demand is an issue for them.. fine. I can wait for AMD.

 

[Vya Domus]

First they want them out before AMD, then they are sitting on it for AMD... which is it guys, make up your mind.

We don't need to make up our mind because that's exactly the point. They got the chart toppers out there as fast as possible for the halo effect, then, for the mid range 3070 and lower which is going to make up the bulk of the sales are waiting for AMD. So they can, again, steal the show right before those come out.

Let me ask you this : do you really think they got less stock for a GPU which uses a considerably smaller chip and run of the mill GDDR6 memory after a month such that they had to delay it even further ? Come on.

 

[stimpy88]

I detest nVidia as a company. It must be awful to work there, it really has to be similar to working in the White House. A company led by arrogance and ego.

 

[Vayra86]

OMG, Huang seams to think his customers is really stupid. There is no problem with supply and shortage are due to the unprecedented demand?!

Well that is the problem you have when you totally underestimate the market and have way to little stock at release.

I would say demand is at least minimum 50x higher than available stock at the moment.

Why not release numbers instead hiding behind words, how many GPUs did they have available at release and what is the monthly output of GPUs from factory.

Why does it matter? Its available when its available. Stop being so needy man jesus. New GPU badly stocked what else is new, you act like this is unprecedented or something.

And that goes for most of you tbh. Its so sad to see. Slaves to commerce.

 

[LocutusH]

I would like to see a poll, who actually ordered, and got a card - or not.

 

[M2B]

Without actual numbers, this is pure hogwash. They just wanted to get these out before AMD, that's all.

They just wanted to release their damned products, that's all. Bacause that's what Nvidia always does, releasing a new generation of GPUs every 2 years. Surprise.
They were always going to release the new cards in september-october regardless of RDNA2 existence.

It must be awful to work there

Nvidia is known to be one the best Tech companies to work for (And of course one the worst companies to work WITH, lmao)
and their employees are some of the highest paid employees in the entire tech industry.
But hey, if hating them makes you feel good, that's fine.

 

[Rhurba]

Bullshiet level is over 9000 with this phrase here: "...demand is much much greater than we expected—and we expected really a lot". "Really a lot" means out of stock everywhere, like no availability at any store in my country - Romania -. 0 availability = "Really a lot". After almost a month since launch. 0 availability.

For all the lies and marketing bullcrap they sell...it just looks bad.

 

[Vya Domus]

Nvidia is known to be one the best Tech companies to work for, and their employees are some of the highest paid employees in the entire tech industry.

Something else these silicon valley companies are also well known for is the brutal management.

 

[SIGSEGV]

huang has spoken, all of you have to obey him!!

 

[renz496]

I detest nVidia as a company. It must be awful to work there, it really has to be similar to working in the White House. A company led by arrogance and ego.

Isn't that nvidia is among the best company to work for?

 

[laszlo]

huang has spoken, all of you have to obey him!!

remind me of metro exodus... "Listen up everyone The baron is speaking.... The baron has spoken "

 

[londiste]

The BIG question is if this is deliberate market manipulation by Nvidia to drive up prices, they lower prices compared to last gen to peek interest and then do a release with starved supply.

Can you explain why would Nvidia want to drive up prices?
From what we can see the current increased prices do not benefit Nvidia but AIBs, wholesalers and resellers. Even worse, anger over prices is bound to be detrimental to their PR efforts.

 

[Bwaze]

Can you explain why would Nvidia want to drive up prices?
From what we can see the current increased prices do not benefit Nvidia but AIBs, wholesalers and resellers. Even worse, anger over prices is bound to be detrimental to their PR efforts.

I'm sure Nvidia gets their share of the price increase.

Remember cryptocrazyness in late 2017 and talks how the Nvidia was actually the victim and would not benefit from the price increases done by partners and stores?

 

[Deleted member 185088]

I detest nVidia as a company. It must be awful to work there, it really has to be similar to working in the White House. A company led by arrogance and ego.

Not necessarily, if you are well compensated with good benefits and not a stressful working environment, and given the amount of money nVidia makes it seems likely that it could be good working there.
Edit:wtf did I just write.

 

[Vayra86]

Not necessarily, if you are well compensated with good benefits and not very stressful working environment, given the amount of money nVidia makes seems likely, then it could good even great working there.

Have < > Have Not

its that simple, and that summarizes this whole emotional topic, both in supply/demand and in how people look at companies. The comments here... overwhelmingly have not territory. But that might have some relation to the number of GPUs in stock

Patience is a virtue, they say.

 

[Melvis]

He can also explain why there is a up to 100% mark up in other countries.......

 

[Dammeron]

"The 3080 and 3090 have a demand issue, not a supply issue"

 

[yotano211]

I love Nvidia, they make me money. I've owned their stock for over 7 years.
I've also owned Mastercard since it went IPO, Visa since the 1st month of its IPO. So keep buying those overpriced Nvidia cards with your Visa, Mastercards.

 

[Kohl Baas]

Can you explain why would Nvidia want to drive up prices?
From what we can see the current increased prices do not benefit Nvidia but AIBs, wholesalers and resellers. Even worse, anger over prices is bound to be detrimental to their PR efforts.

To have a lower than ideal MSRP in every damn review and chart. This will be on comparison to AMD, not the himed up retail prices.

The mining craze gave them a peak to how far some of the buyers willing to go. Now they have a more controlled scenario to have the same effect.

If supply ramps up, they still can hold the prices. nVidia can point their fingers to the AIBs while releasing abysmal ammount of Founders Editions on MSRP, while AIBs can point their fingers on nVidia and GDDR6X for short supply and whatnot.

Perfect.

People just don't want to accept that it's the MSRP that is rigged, not the current pricing. This is the real thing.