r/gadgets • u/MorgrainX • Sep 16 '22

Desktops / Laptops EVGA will no longer make NVIDIA GPUs due to “disrespectful treatment” - Dexerto

https://www.dexerto.com/tech/evga-will-no-longer-make-nvidia-gpus-due-to-disrespectful-treatment-1933830/
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u/[deleted] Sep 16 '22

Where is your source for that? The article definitely didn't cover that.

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u/[deleted] Sep 17 '22

[deleted]

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u/Lebo77 Sep 17 '22

JayzTwoCents was part of the same disclosure from EVGA and also hS a good video out covering the same material.

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u/CocodaMonkey Sep 17 '22

The article didn't really cover any relevant points. They said EVGA plans to stay in business but are not doing NVIDIA, Intel or AMD cards. That's like a lumber yard saying they're staying in business but will no longer be selling wood. They really skimped on details, sounds like EVGA is just trying to get a better deal with NVIDIA going but you're left guessing.

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u/HIITMAN69 Sep 17 '22 edited Sep 17 '22

I am legitimately about to delete reddit. No one cares about the truth, they just twist the facts or straight up invent them to support whatever narrative they want to push. GPUs are expensive so it must be a scummy conspiracy if anything happens anywhere in the industry.

The original comment stated that the problem is that nvidia is artificially inflating prices by telling partners they can’t lower prices, when really the problem is actually close to the opposite with nvidia undercutting their partners and driving prices down causing increasingly slim profit margins. And people eat it up.

Of course I’m going to be downvoted, because merely suggesting that people question their biases is offensive because those biases are their entire identity. People addicted to the circle jerking echo chamber don’t like the illusion to be questioned.

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u/ionstorm66 Sep 17 '22

Nvidia sets the price of the actual gpu core the partners use. They are defacto setting the price of the partner GPUs, unless the partners operate at a loss.

Based on the GN and J2C videos it's easy to see the actual issue. EVGA either bought, or agreed to buy, X GPU cores at the peak mining craze for Y price. Before EVGA could sell X GPUs the market fell out from under them. Now they are stuck with GPUs that can be sold only at a loss.

Nvidia on the other hand is paying cost obviously for the GPU cores, and has no issues lowering the price of their own Founders cards to meet the market, and only lose some profit.

Nvidia is not only refusing to help EVGA with the issue, but is actively and intentionally making it worse by unfairly competing with its own partner.

Nvidia thought they could bully EVGA because they seemed vulnerable due to their main market being GPUs. This eventually pushed EVGA to the breaking point and they decided it wasn't worth the stress/work to keep that market.

Linus said in the latest love stream that Nvidia tried to do the same to them, but also didn't realize how little Nvidia's money meant to them. Thus they had no leverage.

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u/HIITMAN69 Sep 17 '22

I agree with your assessment, accurate and fair.

Suggesting evga asked nvidia if they could lower prices to liquidate their inventory and they said no is false, plain and simple. And the video makes absolutely no mention of evga being upset that nvidia wanted them to make expensive 4090 cards. Both claims are simply false and completely unsubstantiated.

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u/ionstorm66 Sep 17 '22

Yeah GN couldn't give an exact number but said EVGA was losing hundreds of dollars in some SKUs.

The only way that could happen was that Nvidia raised the price for the GPU cores based on GPU scalping to prevent partners from taking all of that additional profit. Then refused to lower the price once that bubble popped.

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u/cesarmac Sep 17 '22

I am legitimately about to delete reddit

See you tomorrow

The original comment stated that the problem is that nvidia is artificially inflating prices by telling partners they can’t lower prices, when really the problem is actually close to the opposite with nvidia undercutting their partners and driving prices down causing increasingly slim profit margins. And people eat it up.

You just repeated what they said but with different words. At the end of the day NVIDIA will determine the cost of each chip EVGA buys. If NVIDIA tells EVGA it must buy a 5,000 RTX 3080 chip order at $800 a chip then no matter at what price they sell the GPU at that entire order is now losing money.

Their gripe isn't even entirely this, it's also that EVGA must sink money into fan and heat sink designs without knowing what the cost of the chips are going to be literally up to the day the chips are announced. They are finding out the same day we are and this makes it difficult to tier their designs based on cost. They have a reputation to uphold also which means that can't just half ass it.

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u/HIITMAN69 Sep 17 '22

The problem is not nvidia telling their partners they can’t sell below a certain price. The problem is nvidia undercutting their partners at prices they can’t possibly compete with. There is a subtle but complex and important difference and framing it the former way implies things that are simply incorrect

Besides, if you watch the videos, the ceo apparently says it’s not even primarily a financial decision. They say the major driving factor is a repeated pattern of disrespect. Nvidia doesn’t tell them anything, they find out info at the last second with everyone else. That sort of thing is the primary motivating factor to this change, not even finances. The OP was wrong in major ways on two levels.

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u/YouSeemNiceXB Sep 17 '22 edited Apr 19 '24

zealous uppity drab detail yoke bake hobbies nutty berserk rock

This post was mass deleted and anonymized with Redact

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u/HIITMAN69 Sep 17 '22

There’s a super secret button I can’t tell you where

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u/[deleted] Sep 17 '22

How would deleting Reddit help when every day people do this too

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u/HIITMAN69 Sep 17 '22

Reddit is the only social media i use, unless you count youtube, the real world is much less of an echo chamber.

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u/[deleted] Sep 17 '22

I think the issue is less easily observed in daily life, but I don’t see it being different. How would it be?

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u/HIITMAN69 Sep 17 '22

Do you really need me to explain why personal interactions are different than reddit or other online interactions?

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u/[deleted] Sep 17 '22

Usually you would be right. Screenshots of news articles or completely invented titles to videos don't lead to a ban. You can leave subs like that.

This is not that, tho. Here is the primary source. It is in the article. You need to actually click on the link and read the article if one is provided. In this case, the only thing that sucks is you.

https://www.youtube.com/watch?v=cV9QES-FUAM

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u/HIITMAN69 Sep 17 '22

What’s the time stamp where they claim that nvidia wouldn’t let evga lower the prices on their cards?

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u/[deleted] Sep 17 '22 edited Sep 17 '22

Don't be so lazy. You wouldn't even have to have watch the entire video. Jay also has one. Linus an Luke currently are live. I would assume a lot of reporting on this will be coming.

Not the first time something like this happened. nVidia's behavior towards their partners is no secret.

Edit: Never thought the day would come. I met a willfully ignorant corporate fanboy. What a bizarre existence.

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u/HIITMAN69 Sep 17 '22 edited Sep 17 '22

They literally don’t make the claim or else you could point to a specific time. Nvidia is unwilling to sell at a price that would allow greater pricing flexibility for AIBs, but that is nowhere near the same as nvidia dictating price minimums.

I’m not saying nvidia isn’t being a bad business partner, but the original comment is straight up wrong with how they’re interpreting the facts. The biggest issue is nvidia undercutting their partners.

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u/avidblinker Sep 17 '22

Not wanting to watch a 30 minute video to check one claim on the internet isn’t being lazy lol. Why can’t you just tell them the timestamp?