NVIDIA CEO Confirms RTX 40-series "Ada" Reveal in September, Launch Aimed at Not Cannibalizing "Ampere"

[btarunr]

NVIDIA CEO Jen Hsun Huang, in his Q2 Fiscal-2023 Results call confirmed that the company's next-generation GeForce RTX 40-series graphics cards could be revealed at GTC Fall 2022, to be held next month in September. NVIDIA's launch of the RTX 40-series "Ada" will be unlike those of the previous few generations, despite retaining a "top-down" launch cycle (of launching high-end SKUs first). CEO Jen Hsun says that the first products will be "layered on top" of the current-generation "Ampere" products, so they don't cannibalize the sales of current-generation products.

"Ampere is the most popular GPU we've ever created. It is in the top 15 most popular gaming GPUs on Steam. And it remains the best GPUs in the world, and it will be very successful for some time. However, we do have exciting new next-generation coming and it's going to be layered on top of that. And so, we've taken—we've done two things. We've reduced sell-in to let channel inventory correct and we've implemented programs with our partners to price position the products in the channel in preparation for our next generation," said CEO Jen Hsun Huang. This could mean that the RTX 40-series could see a ramp-up to the various mainstream market segments, and gain volumes from them, only in 2023. The remainder of 2022 could see a high-end debut of the RTX 40-series, selling alongside attractively priced RTX 30-series cards.



Update 09:48 UTC: NVIDIA states that the CEO Keynote for GTC is scheduled for September 20.

NVIDIA stares at slow demand in the "gaming segment" (read: demand from cryptocurrency miners for gaming graphics cards); with the recent crash in the crypto-currency market, leading to miners flooding the market with used graphics cards that some consumers may be willing to pick up. This puts NVIDIA's board partners in competition with the miners at pricing; and has impact NVIDIA's gaming revenue and guidance over the past couple of quarters. From today's release, it looks like NVIDIA expects the slip to wane only by the end of the year.

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[Dr. Dro]

Speaking as a launch-day 3090 owner, it's a great day to buy a Radeon

 

[medi01]

So, if I get it right, new GPU arch release is being handled as yet another higher end and higher price card being added to the existing lineup.

In my humble opinion PC gamers absolutely earned that sort of treatment.

 

[Bomby569]

i wonder who is going to buy a new 3 series card with the 4 series on sale and so many used cards on the market? they would have to make the 3 series very appealing in price

 

[medi01]

wonder who is going to buy a new 3 series card with the 4 series on sale

It will be faster, but pricier than 3 series. So what gives?

Is there any other interpretation to "CEO Jen Hsun says that the first products will be "layered on top" of the current-generation "Ampere" products,"?

 

[Prima.Vera]

i wonder who is going to buy a new 3 series card with the 4 series on sale and so many used cards on the market? they would have to make the 3 series very appealing in price

There is no way they can do that. They will increase the price like they do year by year and blame it on inflation, miners, scalpers, floods, forest fires, global warming end zodiac, but never them.

 

[Angry TacoZ]

i wonder who is going to buy a new 3 series card with the 4 series on sale and so many used cards on the market? they would have to make the 3 series very appealing in price

personally my criteria to buy new 30 series right now is to get either an RTX 3080ti for 700$ or an RTX 3090ti for 1000$. if either of those drop to those levels ill buy otherwise ill wait for 40 series

 

[Dr. Dro]

i wonder who is going to buy a new 3 series card with the 4 series on sale and so many used cards on the market? they would have to make the 3 series very appealing in price

That's simple, take the 3090 and sell it for $1100, sell the 3090 Ti for $1300 and introduce the 4080 at 1500, 4080 Ti at 1800, 4090 at 2000 and the 4090 Ti at 2999.99 + tax (and a dunce club membership dubbed GeForce Elite for 49,99/mo required for drivers to install on this SKU), man it's just gotten out of hand

It will be faster, but pricier than 3 series. So what gives?

Is there any other interpretation to "CEO Jen Hsun says that the first products will be "layered on top" of the current-generation "Ampere" products,"?

GPU prices may have settled a bit after the cryptocurrency market crash, but they are still very high. An RTX 3080 at MSRP is still out of sight in practically every country but America*, and this kind of PR speak bodes very ill for the prices of the next-generation flagship cards. Why are expensive flagships a bad thing? It's because they act as the ceiling and it means that they can SKU bloat + push prices at the mainstream and performance segment products ever higher, so it's not only us loonies who buy ultra high end GPUs that take the L, it's everyone. The claim that they'll integrate existing products onto the new lineup just serves to reinforce that.

*where Micro Center is available

 

[maxfly]

And so it begins.

 

[Dristun]

Well, looking at current prices in the US, I suppose "layering on top" means 4090 at 1499$ or higher and 4080 at 999$.

 

[john_]

So, the 4080 and 4090 will start as very expensive options, until 3090's and 3080's are gone from the market. After that we could hope not just for the 4070's introduction, but also a price drop on 4080's and 4090's.
But I don't hope much about that last one. The price drop. Just look what is happening in the market today. Every tech site says and celebrates that Nvidia is lowering prices. But that is incorrect. Nvidia lowered prices only in it's ridiculously expensive cards that can't sell, out of desperation probably. Mid range cards, from $200 to $800, still sell (way) above MSRP. Also Nvidia will need to increase it's profit margin. A profit margin close to 45% is unacceptable from shareholders who are spoiled seeing massive revenue increases with profit margins higher than 63%.
The only thing it can save us is AMD. And AMD will NOT lose the chance to price as high as Nvidia. AMD is concentrating in servers where the big profit margins are. Sparing TSMC capacity for Ryzen and Radeons for the retail market, is not probably their top priority. Intel is also said to increase it's pricing by at least 15%, so, damn. Hope you have money.

 

[Chaitanya]

So, if I get it right, new GPU arch release is being handled as yet another higher end and higher price card being added to the existing lineup.

In my humble opinion PC gamers absolutely earned that sort of treatment.

Indeed thanks to all those who bent over backwards in last 2 generations to get GPUs from scalpers and at bloated prices from nGreedia themselves.

 

[Sabotaged_Enigma]

"Ampere is the most popular GPU we've ever created. It is in the top 15 most popular gaming GPUs on Steam.

Popular? You mean overpriced? Yeah of course, don't know how many of them were sold to miners hah?
Remember, GTX 1060 is still the top one on Steam.

 

[ratirt]

Nowadays it is easy to find an excuse to kick the prices up for anything. Not surprised to be honest. Scalpers and crypto at literally the same time. Now stock Ampere is high so prices go up for new ADA till Ampere stock dissipates. No matter how you slice it it is always more cash for them and we have to pay for it.

 

[maxfly]

Popular? You mean overpriced? Yeah of course, don't know how many of them were sold to miners hah?
Remember, GTX 1060 is still the top one on Steam.

Yep, never has a generation sold so heavily to miners at such ludicrous prices is what his ngreedia filter is saying. Now that they are being dumped and ampere is no longer selling, he has to find clever ways to fit ada into the pile of stagnation. Twist mr leather coat boy twist!

 

[wolar]

So they quite liked the price increase from all the miners and decided to do it themselves?

 

[PapaTaipei]

If people don't buy their products they will be forced to lower their prices at some point but something tells me they can take huge losses in the gaming market for at least 1 year before thinking about lowering their ultra greedy prices.

 

[Dristun]

So they quite liked the price increase from all the miners and decided to do it themselves?

Yep. Also: Quite a lot of people kept buying at exorbitant prices anyway + fresh covid-era builders who never experienced normal prices because they never built before won't even notice + TSMC and others jacked up prices for actual manufacturing.

 

[nguyen]

7800X3D/13900K + RTX4090 , this winter is going to be warm and cozy

 

[Blaylock]

So they quite liked the price increase from all the miners and decided to do it themselves?

Remember it wasn't the miners who jacked up the price, it was the scalpers and retailers. But, yes I do agree with the sentiment. They are quite happy with the current high prices.

 

[Dr. Dro]

Remember it wasn't the miners who jacked up the price, it was the scalpers and retailers. But, yes I do agree with the sentiment. They are quite happy with the current high prices.

Nope, not the miners at all, I mean, there's simply no extreme increase in demand when someone who would buy no GPU suddenly buys 10+ of them for a mining rig :')

 

[AlB80]

Eth mining ends on 19th sep. The next day, GPU manufacturer introduces a new arch, that has a solid advantage over the cards of the mining era.
It looks like NVidia is planning to cut all used cards from market and maintain its market share.

 

[Rowanero]

Well, looking at current prices in the US, I suppose "layering on top" means 4090 at 1499$ or higher and 4080 at 999$.

Better make it 4080 at 1499$. It's new tech and more powerful than 3090Ti, it will sit over the price of the 3090Ti.

Remember they want to sell the 3000 series, if that was the price nobody would buy a 3000 at all.

 

[Bwaze]

Soooo... I imagine this will be even worse than Turing (RTX 20X0) release, where we didn't see any price / performance increase - but that was allegedly OK, since we got to play with beta testing of ray tracing and DLSS.

And now I imagine there will be very little extra discounts to Ampere (RTX 30X0) lineup, since we should be glad we are finally able to buy them at MSRP, after two years!

And then there will be RTX 4070 and 4080. Faster than RTX 3090 and 3090 Ti in some cases - but more expensive too, and why not, why should we be getting more for the same money? Money that's worth less and less?

And with Nvidia market dominance AMD might just follow suit, shareholders will be pissed if they don't play the same game, market is contracting with no end to crypto bear and falling buying power / recession. And Intel won't matter for years to come.

And it might actually be even worse than that.

 

[Bomby569]

"just don't buy it"