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Design and development-limited tech loves economies of scale. Stuff like software is functionally free per-unit past the development, hardware still scales very
by kimixa 3y ago
Design and development-limited tech loves economies of scale. Stuff like software is functionally free per-unit past the development, hardware still scales very well as per-unit costs are a smaller proportion of the end unit cost (and much of their advantages is also in software, like CUDA and DLSS etc.).
The steam survey suggests that Nvidia have over 90% of the GPU market, so for every design they sell somewhere near 10x the number of units, so if they sell at the same margins they get 10x the development resources per unit.
That's a lot of slack to lose to business inefficiencies, or competing with more specialized but smaller market devices. Assuming they don't just purchase such possible competitors when they pop up.
It may be that a monopoly is the "natural" end state of such tech markets. I think it's self-evident this isn't a good end state for consumers.