NVIDIA Prepares to Stop Production of Popular RTX 20-series SKUs, Raise Prices

[chrcoluk]

I am not surprise that crypto currency mining will pick up due to (1) low energy prices, and (2) high value of crypto currency. But if there is anything we learned from the last crypto currency fueled GPU price hikes, anything that goes up will come down. Even if the graphic card makers are now more prepared and thus, unlikely to go overboard with supply like they did the last time, they may not be able to avoid the fact that people will start dumping mining cards cheap, which will affect their sales, and will require a price cut to make buying a new card more attractive.

I keep hearing about energy been cheap.

Here in the UK I live alone and my electric bill is £90-£110 a month for a single person, its a 1/4 of my rent.

In 2010 I was paying around 9p per unit of electric, now I pay 15p, my standing fee for electric has tripled in the same 10 year period.

 

[RedelZaVedno]

I keep hearing about energy been cheap.

Here in the UK I live alone and my electric bill is £90-£110 a month for a single person, its a 1/4 of my rent.

In 2010 I was paying around 9p per unit of electric, now I pay 15p, my standing fee for electric has tripled in the same 10 year period.

That's very expensive. We pay 0,07 €/KWh (incl. VAT) on average in Austria. You're getting screwed big time.

 

[Legacy-ZA]

Here is how it works:

NVIDIA wants to raise the price of the RTX2000 series with all partners, this way the RTX3000 series can be introduced at an higher price giving more value to the RTX3000 series compared to RTX2000 series.

Then after the RTX3000 is introduced they can make a FAKE price cut to the RTX2000 series based on the new inflated price.

This way they get a higher introduction price of the RTX3000 without it seaming to weird AND a sell out price of the RTX2000 that is basically the same as today.

Let me show you an example of EVGA RTX 2070 Super Gaming priced at approx $519 at Amazon.com today:

1. Today they raise the price of RTX2070 from $519 to $650
2. In end of August they introduce RTX3070 at $699
3. In beginning of September they lower the price of RTX2070 to $499 as a "SALE" to dump stock
4. End of September they release RTX3070 at $699

Now you have a BIG FAKE SALE to dump stock of RTX2070 in September at the same price as you actually can buy the card for today.

They created an illusion of dropping the price that they just inflated, THIS IS CLASSIC PRICE MANIPULATION TO SCREW YOUR CUSTOMERS.

On top of all this they are trying to use a FAKE EXCUSE of "increased mining demand" that is non existing at this point as a cover to raise the price of the RTX 2000 series.

Since NVIDIA is involving its partners it must be seen as an ILLEGAL PRICE SYNDICATE to manipulate prices with a fake cover story, a class action suit waiting to happen for sure.

I have now made snapshot of prices with all major vendors within EU, if NVIDIA goes ahead with this price increase before the RTX 3000 release I will report them to the appropriate EU authorities.

I like you, a lot, you get it.

This has been going on for too long.

 

[John Naylor]

Geez people take an economics class ... it's called capitalism. Why does nVidia charge what they do ? Because they can. Rvery member of the corporate board is legally obligated to put the benefit of the stockholders above all else (within legal limits oif course)

The 5600 XT is the one card that I can make an argument for. When we work with a user on a new build ... we look at their initial build list and the apps they use. Just this week, we had a user come in who wanted to build a PC ($400 CPU budget) for gaming and video editing noting that "I read on the internet that I should use an AMD CPU because it has more cores and is advanced technology", . We said... look at the reviews on TPU, forget "technology" technology, forget cores, forget benchmarks and look what performs best in what you do. " He decided on a 10700k

On the GPU side, I am very much encouraged by the 5600 XT, it is the one card that I can easily make a solid argument for. There are many AMD cards that came close in the last gen, but 2nd place doesn't get you on the Wheaties box. And when you counted PSU size, power cost, heat and temps... close was far from good enough.the 5600 XT had wins there which is something we havent seen in almost a decade.

If AMD could extend the efficiences of that design, upwards, we could see some real competition and potentially lower prices. Remember last gen, AMD was making huge price cuts on release day. The 3900x dropped $100 back in January before we knew anything about 10xxx series.

The only way we are going to see nvidia price cuts is if a) The new AMD cards are performance competitive out of the box b) They don't lose that competitiveness once both cards are overclocked c) they can duplicate the better performance of the 5600 XT in the power, temps and noise categories d) they are price competitive. Smaller die sizes, HBM, is all just noise unelss they can accomplish those 4 things.

 

[thebluebumblebee]

Here, let me fix this "news" article for you:

With its GeForce RTX 30-series "Ampere" graphics cards on the horizon, NVIDIA has reportedly taken the first steps toward discontinuing popular SKUs in its current RTX 20-series graphics cards. Chinese publication ITHome reports that several premium RTX 20-series SKUs, which include the RTX 2070, RTX 2070 Super, RTX 2080 Super, and the RTX 2080 Ti, are on the chopping block, meaning that NVIDIA partners are placing the last orders with upstream suppliers for parts that make up their graphics cards based on these GPUs.

It is a slow process toward product discontinuation from this point, which usually takes 6-9 months, as the market is left to soak up leftover inventory. Another juicy bit of information from the ITHome report is NVIDIA allegedly guiding its partners to increase prices of its current-gen high-end graphics cards in response to a renewal in interest in crypto-currency, which could drive up demand for graphics cards. NVIDIA is expected to announce its GeForce RTX 30-series on September 17, 2020. (that's only 2 months away...)

If there's renewed interest in using GPU's for anything, it's F@H because of COVID-19.

 

[R0H1T]

but 2nd place doesn't get you on the Wheaties box.

Depends on what it's offering, if (some) numbers are to be believed the DIY community flipped over to (majority?) AMD side even before Ryzen 3xxx launched. That was the time when AMD was still #2 on MSDT, more informed people will generally choose the better VFM parts all day long unless you have an unlimited budget & basically a penchant for that last 0.1% epeen Intel offers.

Nvidia is in more of a lead at the top end, though again AMD is giving them tough competition in the mid range. The real issue with AMD is that they offer what 3 SKUs as against 4-5x that from Nvidia? AMD isn't consistently competitive in the bottom tier & the top tier, that has a knock on effect on what they can salvage from the mid range. Which is not to say that they aren't offering good or better perf/$ than Nvidia, in many cases they are, just that Nvidia is still the preferred brand commanding a huge mindshare in this space ~ much like Intel for DIY builds just as far back as 2017.

 

[Razbojnik]

They are building prices now so they can, when ampere series arrive, sell them as the cards with lower prices for our gamers that we love oh so much (expect a touching speech), while the prices of ampere will be exactly the prices that were of the turing series when it came out if not a even higher. It's a typical tactic today..rise the prices then drop them and claim it's a discount or "tailored to better fit the need of our customers."

 

[Fluffmeister]

Raising the price of Turing cards that are almost two years old? I thought they were scared of Big Navi? Maybe they are just bored of waiting and thought sod it, lets get some more cash.

 

[InVasMani]

I'm just waiting on Intel to integrate FPGA tech into both their iGPU's and x86 CPU designs. Machine learning FPGA I don't need them bits, but I'll take those other bytes.

 

[moproblems99]

Would it be funny if AMD yet again followed the busness practises of Nvidia but fanboys turned a blind eye again ?

This is what I want to see. AMD should just charge NV prices. Gamers didn't want them when they were better so they can just pay me prices.

 

[RealNeil]

It's a great time in the PC market and it's going to get better.

I hope that you're right about this.

 

[CamaroGuy719]

Not sure about a coordinated price increase, but I can tell you that in the US, the tariff exemption for electronic components in China will expire on August 7th, 2020.

The U.S. Trade Representative (USTR) announced that it lifted tariffs on $200 billion worth of goods imported from China. Impacted products included graphics cards, motherboards and PC cases, as well as some gaming peripherals. Now those goods will be exempt from the increased tariffs levied as part of the trade war between the U.S. and China--at least until the temporary exemption comes to an end August 7th 2020.
https://www.federalregister.gov/documents/2019/09/20/2019-20442/notice-of-product-exclusions-amendment-to-the-exclusion-process-and-technical-amendments-chinas-acts

Trump Delays Tech Tariffs to August 2020

The U.S. Trade Representative (USTR) announced Friday that it lifted tariffs on $200 billion worth of goods imported from China until August 7, 2020.

www.tomshardware.com

 

[fb020997]

That's very expensive. We pay 0,07 €/KWh (incl. VAT) on average in Austria. You're getting screwed big time.

Here in this third world sh!thole italy we pay an average of 0.30€/kWh, including our F*****G 23% VAT. No bueno.

 

[cucker tarlson]

0.12 eur here in PL average
I pay less cause of my contract allows them sending marketing data to my fake email

 

[RandallFlagg]

I keep hearing about energy been cheap.

Here in the UK I live alone and my electric bill is £90-£110 a month for a single person, its a 1/4 of my rent.

In 2010 I was paying around 9p per unit of electric, now I pay 15p, my standing fee for electric has tripled in the same 10 year period.

What power source does your utility use? Oil is cheap, "renewables" (wind, solar) are generally very expensive. Honestly when I was single some 12+ years ago, I recall having $50 - $120 utility bills as fairly normal. That was in a 1BR 1BA 650 sqft apartment. The low number would be during winter and colder months, the high one trying to keep the temp ~70F in 100+ Texas heat.

 

[infiniteclouds]

Geez people take an economics class ... it's called capitalism. Why does nVidia charge what they do ? Because they can. Rvery member of the corporate board is legally obligated to put the benefit of the stockholders above all else (within legal limits oif course)

The 5600 XT is the one card that I can make an argument for. When we work with a user on a new build ... we look at their initial build list and the apps they use. Just this week, we had a user come in who wanted to build a PC ($400 CPU budget) for gaming and video editing noting that "I read on the internet that I should use an AMD CPU because it has more cores and is advanced technology", . We said... look at the reviews on TPU, forget "technology" technology, forget cores, forget benchmarks and look what performs best in what you do. " He decided on a 10700k

On the GPU side, I am very much encouraged by the 5600 XT, it is the one card that I can easily make a solid argument for. There are many AMD cards that came close in the last gen, but 2nd place doesn't get you on the Wheaties box. And when you counted PSU size, power cost, heat and temps... close was far from good enough.the 5600 XT had wins there which is something we havent seen in almost a decade.

If AMD could extend the efficiences of that design, upwards, we could see some real competition and potentially lower prices. Remember last gen, AMD was making huge price cuts on release day. The 3900x dropped $100 back in January before we knew anything about 10xxx series.

The only way we are going to see nvidia price cuts is if a) The new AMD cards are performance competitive out of the box b) They don't lose that competitiveness once both cards are overclocked c) they can duplicate the better performance of the 5600 XT in the power, temps and noise categories d) they are price competitive. Smaller die sizes, HBM, is all just noise unelss they can accomplish those 4 things.

There's no way nVidia is moving the same volume that they were during the height of the cryptocurrency craze -- which has long been over -- yet they are setting their prices as if they were. "Economics and capitalism" only apply when that's reality. This isn't a free market and nvidia is probably getting insane government subsidies at this point.

 

[chrcoluk]

What power source does your utility use? Oil is cheap, "renewables" (wind, solar) are generally very expensive. Honestly when I was single some 12+ years ago, I recall having $50 - $120 utility bills as fairly normal. That was in a 1BR 1BA 650 sqft apartment. The low number would be during winter and colder months, the high one trying to keep the temp ~70F in 100+ Texas heat.

Don't know specifically, but my country imports a lot of its power and there is a push for green energy from the government as well, so both of these probably contribute to whats happening, its a mess.

These prices are also with price caps, it was getting so bad, our right wing government even decided it got out of hand and now has capped what they can charge, which says a lot.