AMD says GPUs will flood eBay, dust in AMD warehouses thick, Maybe

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triwolf

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It's so true, so much volatility should check out the stock market today, it could affect Crypto also. And AMD sees a very real possibility of flood of cards on eBay and a dusty full warehouse, I could flip a coin at this point, I will still hope there is some good cases that can hold on and Crypto can have a bright future. It sure is tough to see exactly, I'm trying to stay positive!


https://www.coindesk.com/amd-gpu-cryptocurrency-miners-hit/

A drop in demand for graphics cards (GPUs) by the world's cryptocurrency miners could 'materially' impact AMD's chip business, the company disclosed this week.

In its most recent 10-K annual filing, AMD - one of several firms to ride the recent wave of demand for GPUs (which are needed for the energy-intensive mining process) - highlighted how "the rise of cryptocurrency prices and the introduction of new cryptocurrencies created a demand for our GPUs in 2017." While the company offered no specific figures, the disclosure, published on Feb. 27, is in line with past predictions from AMD, which suggested near the end of 2017 that its GPU business was getting a lift thanks to crypto-miners.

That state of play might not last forever, however.

In the 10-K, AMD indicated that several factors could change the environment on the GPU front, highlighting market and regulatory risks that could lead to a decline in the number of GPUs being bought by cryptocurrency miners.

The firm wrote:

"The cryptocurrency market is unstable and demand could change quickly. For example, China and South Korea have recently instituted restrictions on cryptocurrency trading. If we are unable to manage the risks related to a decrease in the demand for cryptocurrency mining, our GPU business could be materially adversely affected."

The prediction that volatility could alter the pace of demand is shared by others in the space, including rival GPU maker Nvidia.

During an earnings call in early February, Colette Kress, Nvidia's chief financial officer, said it was "hard to quantify" how much of its GPU revenue came from cryptocurrency miners, adding that "cryptocurrency trends are likely to remain volatile."

Still, the inclusion in its most recent filing serves to highlight how AMD is among a growing list of companies - primarily financial institutions - to acknowledge the impact that cryptocurrencies and blockchain technology will have on their bottom lines.
 
Nvidia: "We see GPUs getting more and more expensive"

AMD: "We see cheap GPUs flooding the used market"

Now, I'm no fanboy: but I know who's better at making fistfuls of cash. My bet is on Nvidia's prediction.
 
KazeoHin said:
Nvidia: "We see GPUs getting more and more expensive"

AMD: "We see cheap GPUs flooding the used market"

Now, I'm no fanboy: but I know who's better at making fistfuls of cash. My bet is on Nvidia's prediction.
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It's a real possibility that there will be a few good coins people still mine and cards are in demand, plus the other factors of RAM and expenses of all electronics on the rise. It's quite possible they play like the intelligent crypto enthusiasts and don't bet the entire house, and make as many cards as they can afford to sell at a reasonable price, or higher if they get lucky.

There are a lot of variables, one would imagine they will make safe bets because as AMD says, when the bottom falls out it will probably really really fall out.
 
It's just a matter of credibility. Nvidia is better at making money. So when they make a prediction about the industry that affects the money they make, I trust it WAY more than AMD, who's company get front-page headlines when they miraculously turn a penny of profit.
 
KazeoHin said:
It's just a matter of credibility. Nvidia is better at making money. So when they make a prediction about the industry that affects the money they make, I trust it WAY more than AMD, who's company get front-page headlines when they miraculously turn a penny of profit.
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I see what you are saying. Also, it seems the real thing AMD wanted to tell shareholders, it may happen, LOOK OUT BELOW!

Nvidia has been essentially printing cash for a while now with their extremely well made products, and you are right they are dominant and can push the industry where they want, AI for driverless cars, compute, etc. etc.
 
triwolf said:
During an earnings call in early February, Colette Kress, Nvidia's chief financial officer, said it was "hard to quantify" how much of its GPU revenue came from cryptocurrency miners, adding that "cryptocurrency trends are likely to remain volatile.".
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Baloney

Plot 2013-2016 determine the mean increase per year. Take 2017s record earnings and subtract what should have been as predicted by the trend line.
Boom. There’s your volatile crypto profit for 2017.


I’m going to guess crypto was behind 80-90% of all of AMD GPU sales and 50-60% of Nvidia GeForce sales.

I bought ~ 60 cards in 2017. Most years I buy a graphics card every other year. So in one year I represented 120 historical me’s.
 
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It could happen. Will it? I don’t think so. But, it could.

If it did happen the gamers would be happy. All those cheap used cards with people trying sell the quick.
 
I see a real possibility that warehouses full of AMD cards collect dust. Nvidia's next round is going to destroy AMD. The options are what more flavors of vega? The vega is just a beefed up 290x with HBM. the 580's have eth and the vega has cryptonight but NV already has everything else. The next gen could be nothing but green.
 
mkrohn said:
I see a real possibility that warehouses full of AMD cards collect dust. Nvidia's next round is going to destroy AMD. The options are what more flavors of vega? The vega is just a beefed up 290x with HBM. the 580's have eth and the vega has cryptonight but NV already has everything else. The next gen could be nothing but green.
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It really doesn't matter what happens next generation. Even if AMD doesn't have an answer to next gen Geforce, the worst that could happen is their existing product line MAY have some price cuts. Miners will still buy them. Gamers will certainly still buy them. 1080P is still the standard and AMD has plenty of gaming cards for 1080P.
 
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Nvidia is already selling quite "expensive" cards in the V100 15k list and 10k street. The previous generation was 11k and 6k respectively. The previous K series also followed this trend. In this product family card prices are trending up, and not getting cheaper with each generation.
 
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