ASRock Prevented by AMD to Sell its Graphics Cards in the EU

[btarunr]

It's been extensively reported that ASRock's primary motivation behind entering the graphics card market is the crypto-currency wave. The company stitched together a lineup of graphics cards based on AMD Radeon RX 500 series, with its fastest card being the RX 580 Phantom Gaming X. It's now being reported that AMD is preventing ASRock from selling its graphics cards in the EU. The reasons behind the move are unclear, but from what we can tell, ASRock hasn't been given a region-specific permission to sell its graphics cards in the EU. This probably indicates a swelling inventory of AMD Radeon graphics cards from other AIB (add-in board) partners, due to waning interesting in GPU-accelerated crypto-currency mining.



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[Countryside]

Where is that freedom of choice now eh.

 

[T4C Fantasy]

Where is that freedom of choice now eh.

misleading title, i heard they just didnt get contacted back yet

 

[Xzibit]

From the translation. It reads some one at ASRock sent him a card for review

I got the request from ASRock today, where I actually got the card, because a sale in Europe was not planned at all.

He then comes to the conclusion

"The problem for me is that AMD has not agreed to sell in EU, that is really a pity."

So we went from AIB saying they were never planning a EU sale to AMD is banning them.

UPDATE:

The German branch of Tom's Hardware had obtained one of the Phantom video cards from unofficial sources and published a review of it. They were approached by ASRock's senior sales manager, who wondered where the website had the video card. For example, no review copies were sent to European publications because the company was not allowed to sell the series in question in Europe. This would have been imposed by AMD, but for the exact reason it remains as yet guessing.

 

[dj-electric]

Where is that freedom of choice now eh.

 

[the54thvoid]

All conjecture for now but not allowing a company to sell your product in a certain zone is bound to raise questions.
One position is the other AIB's were not happy about it squeezing them. Hope that's not true, because it puts AMD in the naughty box.

 

[wiak]

the reason is that there is to few vendors in asia so amd wanted to asrock to focus there, atleast what i read on reddit, lets hope they see the light and allow them in eu too, now that we cant get HIS in norway anymore

 

[sergionography]

I guess the asrock Radeon rx588 is too good for Europe

 

[IceScreamer]

Since these cards seem to be cooler rebrands from Colorful, could it have something to do with them?

What kind of presence does Colorful have in the EU?

 

[wiak]

Since these cards seem to be cooler rebrands from Colorful, could it have something to do with them?

What kind of presence does Colorful have in the EU?

Colorful and Asrock own by same entity i wonder?

 

[okidna]

Colorful and Asrock own by same entity i wonder?

No, they both just order cards from the same source, which is Chaintech.

 

[deu]

All conjecture for now but not allowing a company to sell your product in a certain zone is bound to raise questions.
One position is the other AIB's were not happy about it squeezing them. Hope that's not true, because it puts AMD in the naughty box.

I think if you are reading too much into it. Same product requires approval in different regions, and if Asrock have not sought to seek such approval in EU (on of the strictest regions when it comes to comsumer safety etc.), it makes alot of sense for them not to do so. Again if they planned to sell for cryptominers, the europian market makes no sense if they just wanna bulk out models for the asian market (which from my understanding would be easier to sell to from an approval point of view.)

 

[Recus]

If AMD doing this with 30% market share imagine what they will do with 80% market share.

 

[dj-electric]

If AMD doing this with 30% market share imagine what they will do with 80% market share.

A company with 80% market share acts very differently. Lets just say you wont see many "viva la revolution" style marketing.

 

[sutyi]

If AMD doing this with 30% market share imagine what they will do with 80% market share.

OEM manufacturer Chaintec probably does not have trade deals on the EU region with AMD. ASRock buying rebadged and reboxed Radeons does not grant trade immunity.

 

[Vya Domus]

All conjecture for now but not allowing a company to sell your product in a certain zone is bound to raise questions.
One position is the other AIB's were not happy about it squeezing them. Hope that's not true, because it puts AMD in the naughty box.

Why would AMD willingly want to prevent their own product being sold ? While keeping in mind the fact that other AIBs are selling their card in the EU with no problems.

Who knows what sort of screwed up legal agreement popped up as the reason for this rather than just pure malevolence.

 

[Valantar]

I don't get why this is being reported as news. This is entirely common practice across all brands, and the reason why you don't see Colorful GPUs in the US or Europe, or KFA2/Galax GPUs in the US - or all manner of Chinese motherboard and component brands outside of the APAC region. I would expect AIB partners to be able to get this permission if they really want it, but they probably need to show that they have a reliable network of distributors and RMA handlers and prospects of selling a noticeable amount of stock first.

 

[DeathtoGnomes]

I don't get why this is being reported as news. This is entirely common practice across all brands, and the reason why you don't see Colorful GPUs in the US or Europe, or KFA2/Galax GPUs in the US - or all manner of Chinese motherboard and component brands outside of the APAC region. I would expect AIB partners to be able to get this permission if they really want it, but they probably need to show that they have a reliable network of distributors and RMA handlers and prospects of selling a noticeable amount of stock first.

I suspect ASRock is just out to make a buck and is trying to capitalize on the crypto-mining market before it tanks. I do agree there might be the off chance that ASRock has not setup an RMA process or RMA center that consumer have easy enough access.

 

[iO]

Asrock Europe's statement to Tom's Hardware:

"The decision of sales region for ASRock VGA card is based on the planning of mutual channel agreement. So far the first priority is Asia Pacific and Latin America. No confirmed schedules in EU markets yet"

 

[ShurikN]

If AMD doing this with 30% market share imagine what they will do with 80% market share.

Just look at nVidia and you'll have your answer

 

[jabbadap]

I don't get why this is being reported as news. This is entirely common practice across all brands, and the reason why you don't see Colorful GPUs in the US or Europe, or KFA2/Galax GPUs in the US - or all manner of Chinese motherboard and component brands outside of the APAC region. I would expect AIB partners to be able to get this permission if they really want it, but they probably need to show that they have a reliable network of distributors and RMA handlers and prospects of selling a noticeable amount of stock first.

Quite agreed. Though ASRock sells mini-PC:s and motherboards on EU so adding graphics cards for the list should not be that out of question.

 

[Valantar]

Asrock Europe's statement to Tom's Hardware:

"The decision of sales region for ASRock VGA card is based on the planning of mutual channel agreement. So far the first priority is Asia Pacific and Latin America. No confirmed schedules in EU markets yet"

So: this is not news. Everyone agrees. This is coming pretty close to the definition of "tempest in a teapot".

If AMD doing this with 30% market share imagine what they will do with 80% market share.

See @iO 's post above. This is the standard modus operandi for every supplier who has multiple OEMs making products based on their own in the PC space, and is not actually anti-competitive. If the case was that ASrock really really really wanted to sell GPUs in Europe and AMD said "No, and if you try, we won't give you any more components" that would be a different matter. But that is obviously not the case here.

 

[the54thvoid]

Asrock Europe's statement to Tom's Hardware:

"The decision of sales region for ASRock VGA card is based on the planning of mutual channel agreement. So far the first priority is Asia Pacific and Latin America. No confirmed schedules in EU markets yet"

Well, there we go then. Explained, though it would have been better if the ASRock rep had just bloody said that initially.

 

[kruk]

Well, there we go then. Explained, though it would have been better if the ASRock rep had just bloody said that initially.

It would be even better if TPU would reach out to AsRock for an official statement before publishing this ...

Where is that freedom of choice now eh.

We had N brand choices before GPP was unveiled (and before AsRock decided to enter the market) and now we have N+1 brand choices thanks to Asus AREZ and death of GPP. Yeah, the delta isn't over 9000, but I think it's looking pretty good

 

[Kohl Baas]

OEM manufacturer Chaintec probably does not have trade deals on the EU region with AMD. ASRock buying rebadged and reboxed Radeons does not grant trade immunity.

I've read on another forum that it's not just about the bargain with AMD. Chaintech does not have at least some of the certificates necessary to manufacture products that can be traded in EU. This also means they're doing the production cheaper compared to TUL who has those certificates and so produce most of the cards sold in the EU.