GPU Demand For Mining Slowing Down, Nvidia To Strictly Control “Inventory Levels”
With the boom in cryptocurrency mining, GPU prices went sky high due to shortages, however, according to a report, GPU demand for cryptocurrency mining has slowed down a bit and Nvidia is preparing for the future so that such shortages never happen again by strictly controlling the “Inventory Levels”.
According to DigiTimes, “GPU demand for cryptocurrency mining has shown signs of a slowdown prompting NVIDIA to practice strict control over inventory levels.” Seems like the GPU giant doesn’t want to repeat the same mistake twice and intends to prevent GPUs selling out to cryptocurrency miners.
Furthermore, the reports suggest that the company has “increased its GPU quotes” which is to cover the gap that might occur as GPU demand starts to go down.
NVIDIA also has further increased its GPU quotes recently, which the sources believe is meant to help cover the gap that may occur after GPU demand starts sliding. Since profitability from graphics cards has been weakening, NVIDIA and AMD have both been decelerating the developments of their new GPU architectures and prolonging their existing GPU platforms’ lifecycle.
Speaking of the GPUs, according to Steam hardware survey, 85% of Steam gamers use Nvidia GPUs. According to the survey, 85.3% of Steam gamers use Nvidia GPUs while a meager 8.9% of Steam gamers use AMD cards. This trend also stays true in the CPU survey as 9.1% of Steam users use AMD CPUs while 90.88% of them use Intel CPUs.
Furthermore, the GPU giant has predicted that GPU prices will continue to increase in 2018.
According to the company, “the pricing in the market will continue to go up through Q3 of this year most likely before we start seeing any type of relief”.”
What do you think of Nvidia strictly controlling the inventory levels? Will it be able to prevent GPU price hikes? Let us know in the comments.