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giteam OP t1_jbdxrev wrote

The price of graphics cards has now fallen from the super-inflated prices of 2021 to more 'normal' prices, and NVIDIA's FY22 revenue is actually flat from FY21 as a result

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28

Nathanondorf t1_jbe4rsv wrote

I bought a 1070 Ti around 6 months after the 20 series came out. I paid roughly $250 $500* at that time. Today the 3070 Ti would be the equivalent. I don’t know if the 40 series has been out for 6 months, but one 3070 Ti is currently going for about $700, and I’m supposed to believe these prices are “normal”? I guess those prices aren’t too far off, considering inflation. Still higher than ideal though.

Edit: I looked up my receipt for said purchase of 1070 Ti in 2018. Looks like I actually paid around $500. I thought I purchased two cards for that price, but I guess my wife bought her own and I remembered wrong.

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abusedporpoise t1_jbf54bj wrote

Depends what you mean by equivalent. The equivalent hardware performance would roughly be a 3050Ti

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danielv123 t1_jbfpef3 wrote

Yep. And you might argue that 70 makes it the same skew, but you could also argue that they just shifted their lineup a step upwards with 70 series replacing 80 series.

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Daniferd t1_jbe537z wrote

I saw new 3080s being on sale for $700 back in November. Some of them had Newegg gift cards in the tune of like $150 on top.

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SBAWTA t1_jbijemq wrote

Anf 4070ti goes for $900, at least where I live.

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georgewesker97 t1_jbeczc4 wrote

Prices are definitely not normal, in fact, NVIDIA is trying to maintain those cryptoboom prices. Id wagger that the flat revenue is because people are having none of that.

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MichaelMJTH t1_jbe5lla wrote

The word ‘normal’ definitely deserves to be in quotation marks. Graphics card prices are in a weird spot. Manufacturing bottleneck have now loosened post the covid era electronics supply shortage. And the crypto mining crash has lead to demand decreasing dramatically, right as Nvidia had stock ready for the cards. So price deflation has happened, but it’s most noticeable mainly in the resellers/ 2nd hand markets where used stock is flooding.

However, Nvidia and their competitor AMD has on the other hand increased the prices for each tier of its latest generation flagship GPUs. This has led to a lack of the same enthusiasm for the latest GPU launch when compared to the previous generation launch in 2020. Couple that with the flood of prior generation used cards on the market, new graphics card sales in units and revenue were down year on year in 2022.

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asclepiannoble t1_jbfm4xd wrote

Inflation-adjusted and tier-matched, GPU prices are definitely not normal :) But I suppose it's true that crypto-driven price inflation at least is no longer the concern now.

Now, it looks more like NVIDIA itself is adjusting the prices to match those at some points of 2021.

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Deus_Novi5 t1_jbe0g8u wrote

Whats data center?

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giteam OP t1_jbe19xd wrote

NVIDIA provides hardware and software solutions to businesses that need high-power computing for things like rendering, data analytics, AI training etc.

https://www.nvidia.com/en-gb/data-center/

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Deus_Novi5 t1_jbe1c3s wrote

Ah so like customer support

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danielv123 t1_jbfqexn wrote

No, like licenses, A100 and H100 cards. H100 is 33k pre tax, each.

They sell them in pre built machines with 8x H100, 8Tbps bidirectional networking, 112 cores, 30TB of nvme storage and 2TB memory. That is 640gb VRAM per machine.

Oh, and they are linked together. They sell hundreds of these machines at a time.

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The_Cultured_Freak t1_jbe1heh wrote

Apparently you need specialized hardware(and software) to store large chunks of data which should be easily accessible.

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FormerKarmaKing t1_jbe49it wrote

Data center is a generic term for renting out the hardware needed to run services on the internet. Amazon’s AWS is the largest provider in the world with Microsoft and Google behind them. Competing against companies like those is obviously very hard.

NVIDIA, however, has a massive advantage when it comes to hosting software that requires a lot of GPUs. This includes graphics programs but also AI software.

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markhc t1_jbfs8u8 wrote

I think the data center on this chart refers to the sales of GPU to big data centers like those you mentioned.

Or, in other words, the revenue from sales of their data-center cards like A100, V100, etc.

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FormerKarmaKing t1_jbg0a4d wrote

Yeah, you’re probably right in terms of breaking out the revenue. The software services likely roll up under OEM & Other because they’re so tiny at this point.

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Wind_14 t1_jbeda7j wrote

It's more like special server that is not only used to store stuff but also to do heavy-work jobs like AI, simulation (especially near real-life one) rendering animation etc.

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