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Yes, now can I direct your attention to the term “margin” used in the comment I was replying to? It is common for people who are looking for the sweet upvotes f
by acdha 3y ago
Yes, now can I direct your attention to the term “margin” used in the comment I was replying to? It is common for people who are looking for the sweet upvotes from a “this company is ripping everyone off” spin to present this as if “retail sales price - BOM = UNJUST PROFIT!!!!!!”. The source is a blog post based on a tweet by one person who does not work in the industry who is repeating another unverifiable claim by someone who does not work in the industry. The term “BOM” is not mentioned anywhere in that, and none of this has any details which could be reviewed for accuracy.
The blog post really highlights how effective those headlines are at getting clicks but not informing readers: it leads with “nearly 1,000%” because that sounds even more rage bait-y than the already high “823%”, and that's clearly the impression people take away from the story even though starting with the second paragraph it makes it clear that this is a very fuzzy claim which is likely significant understating the true cost for Nvidia to make the hardware as sold or the other factors I also mentioned.
Finally, “swapping out the memory on an existing product” can mean “we replaced part A with larger part B” or it can mean “we upgraded a controller, added additional channels, and redesigned the physical form factor to provide better mechanical and thermal capacity for the extra chips”. That's why those extra details are so important since it's otherwise easy for someone to make a tweet which sounds like they know what they're talking about but is in fact leaving out a lot of important context.