Nvidia will intervene in the manufacturer’s RTX 30 series inventory cleanup
Nvidia has been in trouble recently, with pre-disclosed results for the second quarter of fiscal 2023 showing a preliminary estimate of $6.7 billion in revenue, well below expectations of $8.1 billion. To make things even more troubling, there is still a large backlog of Nvidia’s partner GeForce RTX 30-series graphics cards, which will take more time to digest, potentially leading to further price cuts and forcing Nvidia to delay the release of new graphics cards.
Even with Nvidia’s help, it would take several months for these graphics card manufacturers to clear their high-end graphics cards with GA102 GPUs. However, on mid-to-high or mid-range graphics cards equipped with GA104 GPUs, graphics card manufacturers still need to handle their own inventory.
Nvidia will take “aggressive actions” in late August if there is still a significant stockpile of cards. Unlike AMD, which leaves prices to market regulation, Nvidia may choose to lower prices even further. With both Nvidia and AMD planning to release a new generation of GPUs within this year, graphics card prices are expected to continue to decline in the near term to make room for new graphics cards.
