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Hmmm, if ASUS started selling 1080Ti for $500 instead of $1000, I am sure that would have resolved itself pretty quickly ;-)
by bitL 8y ago
Hmmm, if ASUS started selling 1080Ti for $500 instead of $1000, I am sure that would have resolved itself pretty quickly ;-)
- ksec 8y agoMay be there is a term for it, but it is a classic example how demand suddenly disappear when the price has dropped because everyone thinks / knew it is going to drop further. For Example, they know the 1080Ti were going for $400, but due to crypto it shoot up to $1000, now even at $500, they may as well wait a little more, and new graphics Turing or Ampere are coming soon anyway.
- bitL 8y agoSo the optimal strategy for NVidia is to shred those redundant silicon dies? At some point new Vega will put a pressure on them to release consumer Volta/Turing/Ampere/whatever-they-name-it and at $1000 there is not much hope for getting rid of Pascals via standard sales channels.
- jdietrich 8y ago>So the optimal strategy for NVidia is to shred those redundant silicon dies? Potentially, yes. Dumping their current inventory at the market-clearing price might badly affect demand for their next generation of products and damage their relationship with board partners. Lower GPU prices from Nvidia will barely trickle down to customers due to the rising cost of GDDR memory and the fixed cost of all other aspects of AIB manufacturing. Constraining supply to keep prices close to list might be frustrating for consumers, but it's probably in the long-term interests of Nvidia and their board partners, especially considering the weak competition from AMD.
- ksec 8y agoJust give it time for the market to digest it organically. It will be a slow process but it is the best then to shred it. Afterall Nvidia is in no hurry for new GPU introduction, as Vega doesn't seems to be competitive.