NVIDIA Tells Retailers To Sell To Gamers, Not Cryptominers

Oct 25, 2017
7,619

That's not one, not two (for SLI), but six GeForce GTX 1080 cards priced at $6,700. That's a $3,700 premium over buying the cards at what NVIDIA markets them for an MSRP. We're actually in a strange period where Tech reviewers essentially have no reason to even review GPUs currently and subsequently recommend any, due to complete lack of value proposition at these prices. We have no idea how long this gouging is going to last, but there's at least one manufacturer apparently trying to do something about it and that's NVIDIA.

You'll have to excuse our weak German translation skills. Regardless, if information recently published from tech site ComputerBase is correct, it seems at least in Europe, NVIDIA is directly asking etailers to limit the number of cards that can wind up in any one customer's hands. The suggested limit is two, which given the current situation seems fair. But is it enough?
More at the link
https://hothardware.com/news/nvidia-tells-retailers-to-sell-to-gamers-not-cryptominers
 

weekev

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Oct 25, 2017
3,322
I'm sure retailers are super likely to be selective in who they sell to. "Sorry I can't take your money, Nvidia told me not to."
 

Lysistrata

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Oct 27, 2017
671
Paradise Lost
Please stop selling our very profitable products. Really?
Nvidia disingenuous and far removed from the retail reality.
Retailers- nah, no thanks.
 

Coconico

Member
Oct 25, 2017
332
Miami
While on the one hand I don't see anything wrong with a company capitalizing on a market demand in this way, I do understand the frustration that comes with being just an average consumer with a big desire to update their own rig and having to twiddle my thumbs on the sidelines waiting for crypto to peter out so prices can normalize again is terrible. I have all this money I'm willing to spend, willing that the price is reasonable and it seems that won't be happening for a long while. Lucky I got a good deal on a 1070, but my FX-9370 is starting to show it's age.
 
Oct 25, 2017
2,290
with mrs. glitches
haha yeah i'm sure they'll listen when they're selling shit for double or triple their worth

It took Nvidia long enough to say something on the subject, it's far too late to do anything about this.
 

R0987

Avenger
Jan 20, 2018
1,099
Yeah cus retailers are going to say no to a guy who comes in and buys 6 1080 ti's against inflated prices.

But cant nvidia block cryptomining with their gpus through drivers or something if they really want their cards to be used for gaming and not mining.
 

shiftplusone

Member
Oct 25, 2017
2,002
Now if only they could get crucial and Kingston and Intel and every other manufacturer in the entire industry to do the same thing

My 16gb of RAM I paid 80 bucks for in 2016 is now 220 for the same SKU
 

Sectorseven

Member
Oct 25, 2017
3,717
In all seriousness though, I'm sure they have long term concerns about their brand. They know a shift in trend is inevitable, whether it be from a transition to more optimized mining products, or simply a crash in the market, and there's a real risk a portion of their consumers simply move on to other brands or products (like consoles), and the possible lingering perception their graphics cards are expensive and simply no longer aimed at the demographic who traditionally bought them.
 

shadowhaxor

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Oct 27, 2017
1,063
Claymont, Delaware
haha yeah i'm sure they'll listen when they're selling shit for double or triple their worth

It took Nvidia long enough to say something on the subject, it's far too late to do anything about this.
Actually, a lot of retailers have been doing this prior to the article. Microcenter, for example, has changed their pricing on anyone buying 3x cards or more, the price jumps up big time. They also stopped people from being able to order/reserve cards from their website. You now have to go in the stores to see if they are in-stock and for sale. Before you could just reserve them from the website and then go pick them up.

I believe Newegg is jacking up the prices for multiple cards as well.

Yeah, sounds like nothing more than a PR Statement. There’s no way you can say where that card will go. Unless Nvidia and AMD start installing a malware that cripples Crypto Currency calculations their cards will be bought up by miners.

Makes me not feel as bad that I bought a 390 right before a major update, I mean I still am pissy about that but damn at least I don’t need a major upgrade soon.
All Nvidia has to do is disable CUDA, since most games don't even take advantage of it. This is why those cards are selling out. That would just make the AMD cards even more desirable.
 

Karnova

Banned
Oct 29, 2017
626
Yeah, sounds like nothing more than a PR Statement. There’s no way you can say where that card will go. Unless Nvidia and AMD start installing a malware that cripples Crypto Currency calculations their cards will be bought up by miners.

Makes me not feel as bad that I bought a 390 right before a major update, I mean I still am pissy about that but damn at least I don’t need a major upgrade soon.
 

TSM

Member
Oct 27, 2017
2,420
I'm wondering if future Nvidia products are going to try and thwart mining much as they do in trying to steer business users to their Quadro line. At least on Windows they have full control over the video card drivers and this gives them an avenue to address this issue.

Yeah, sounds like nothing more than a PR Statement. There’s no way you can say where that card will go. Unless Nvidia and AMD start installing a malware that cripples Crypto Currency calculations their cards will be bought up by miners.
Why would they have to resort to malware? Through their drivers they have full control of their cards. The ones already out in the marketplace are obviously written off at this point, but their next product lines can directly address this issue.
 

FreezePeach

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Oct 25, 2017
9,850
The gamer enthusiast crowd are the ones that get excited and give free word of mouth and publicity to nvidia, so it benefits them that they are the market. This crypto thing just pisses that crowd off and has no guaranteed sustainability. They might be making money like crazy but the long term view looks hectic to them im sure.
 

renzollama

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Oct 29, 2017
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Are retailers the ones actually making the huge profits in this scenario? I have no idea how hardware retailers work, but I assume they're buying the cards from nvidia at a price that's relatively fixed. It's interesting because if that's the case then at some point wouldn't nvidia be incentivized to raise its own retailer purchase prices and reduce the benefit of this situation for the retailer?
 

TSM

Member
Oct 27, 2017
2,420
Nvidia said this just to try and spin some positive PR.
I personally think it's them tipping their hat. The 11XX/20XX Ampere cards will probably have countermeasures in place. Nvidia, and AMD, has a clear history of marking up the cards they sell for buiness use. Mining might be restricted to their Quadro line or something new that is similar.
 

Paganmoon

Member
Oct 26, 2017
3,692
yeah, if you want to be very cynical (and I guess I sometimes can be), you could see this as a PR effort to say "hey, gamers, it's not our fault, please don't hate us"
 

Faust

Member
Oct 25, 2017
633
What is it about computer parts that all the sites are greedy and money grabbing? I can't imagine walmart or other big box stores marking things up 200%+ because they're popular. There seems to be no problem with it for computers though.
 

1-D_FE

Member
Oct 27, 2017
3,409
I notice in that picture it's not actually newegg selling that bundle. It's a third-party scumbag (just like Amazon has third-party marketplace sellers who do whatever they want and usually have stupid pricing).

I'm fairly certain Newegg actually does have limits on GPUs when you actually order through them (at least the reasonably priced cards that I've seen of late).

What they really need to do is cut off shipments to any place that's pulling this. And I don't mean Newegg. I'm talking about uShopMall in the example shown in the OP.

Translation: Nvidia salty they're missing out on the mark-up.
Sure.
 

vhyn

Member
Nov 13, 2017
44
All Nvidia has to do is disable CUDA, since most games don't even take advantage of it. This is why those cards are selling out. That would just make the AMD cards even more desirable.
CUDA is just their term for their stream processor architecture for all GPU tasks (including gaming). Games and many applications depend on parallel processing and as long as GPUs work the way they do, they'll be feasible for some kind of mining and lots of other multi purpose tasks.
The moment they cripple rendering performance is when I'll switch to the competition.
 

Nemesis121

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Nov 3, 2017
4,351
lol Nividia cut the BS, you trying to make yourself look like the good guy, when you rolling in money thanks to Cryptominers...
 

Easy Rider

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Nov 2, 2017
900
In all seriousness though, I'm sure they have long term concerns about their brand. They know a shift in trend is inevitable, whether it be from a transition to more optimized mining products, or simply a crash in the market, and there's a real risk a portion of their consumers simply move on to other brands or products (like consoles), and the possible lingering perception their graphics cards are expensive and simply no longer aimed at the demographic who traditionally bought them.
Or more likely just the shift to proof of stake in crypto.
 

TSM

Member
Oct 27, 2017
2,420
lol Nividia cut the BS, you trying to make yourself look like the good guy, when you rolling in money thanks to Cryptominers...
What could they reasonably do at this point? It's impossible to lock down existing cards as people can just not update their drivers or firmware. They are reaching out to their partners asking for help. The first point at which they will have any sort of control over the situation will be the launch of their next line of cards. Maybe this makes them move up their next product launch, which I certainly wouldn't mind.
 

1-D_FE

Member
Oct 27, 2017
3,409
Doubt they really care they just want sales
Depends what retailer you're talking about. I'm sure that Newegg's rationale for placing limits on (recent) first party transactions is that they're selling to system builders. And ensuring some GPU stock means people are much more likely to order a bunch of other component parts with it. That and goodwill. Forcing people to shop around means they may never come back to shop with you again.
 
Oct 28, 2017
5,034
lol Nividia cut the BS, you trying to make yourself look like the good guy, when you rolling in money thanks to Cryptominers...
Actually I’m sure they don’t want it like this. Cryptocurrency still looks short term. Meanwhile, their mid-range is being forced to look elsewhere. The Xbox X and even Pro look like pretty good value propositions. And if you lose those customers to consoles now, they might not come back.
 

o k

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Oct 25, 2017
2,572
Is this mainly an issue in the US? Looking at amazon.co.uk for example they are selling high end NVIDIA cards for close to RRP.
 

Pachinko

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Oct 25, 2017
452
Canada
Only way to do anything would be to sell the highend models direct only , you buy them one at a time straight from Nvidia and they just stop shipping them to retailers but that would also hit their bottom line hard. I don't know ... it's a stupid problem to have that people are buying these things to make a few cents a month for a few dollars of electricity. Bitcoin can't crash soon enough basically. Anyone mining deserves the poor house for all the power they waste. Governments should start regulating the use of bitcoin too , make it next to impossible to turn it into real money for any legal use or tax the shit out of it or something.
 

Derrick01

Banned
Oct 25, 2017
7,289
lol I mean that would be nice but how do you even test for that? Ask someone what they're going to do with the card? We all know everything on the internet is 100% truth after all.
 

Faust

Member
Oct 25, 2017
633
I'm telling you why they wouldn't raise the price to cash-in on the mining boom.
There's such a thing as price elasticity, they can still raise it some without major backlash if they're this supposedly salty over lost money. It still doesn't prove how this statement is just them being "salty".
 

2San

Member
Oct 28, 2017
443
Buyers that are cryptominers are only interesting on the shortterm. NVIDIA doesn't want to damage their image with their core audience. So this makes perfect sense.
 

Dark1x

Digital Foundry
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Oct 26, 2017
3,237
I did notice that, at Micro Center back in the States, they had a big warning that the first GPU could be sold at normal price but if you wanted a second one right then, it would cost several thousand.
 

Wowfunhappy

Member
Oct 27, 2017
2,982
I personally don't understand why nVidia cares. If people are willing to drive up the market value of their products—even if only in the short term—that's good for nVidia. And as far as branding, I don't think their brand is in danger any time soon.

This effort is nice for us though. Although I wonder how serious nVidia actually is.
 

shadow2810

Member
Oct 25, 2017
933
I personally don't understand why nVidia cares. If people are willing to drive up the market value of their products—even if only in the short term—that's good for nVidia. And as far as branding, I don't think their brand is in danger any time soon.

This effort is nice for us though. Although I wonder how serious nVidia actually is.
People give up PC gaming and move to console. I don't think anyone can guarantee they will come back once the price goes down.
 

FHIZ

Member
Oct 28, 2017
1,538
I personally don't understand why nVidia cares. If people are willing to drive up the market value of their products—even if only in the short term—that's good for nVidia. And as far as branding, I don't think their brand is in danger any time soon.

This effort is nice for us though. Although I wonder how serious nVidia actually is.
They’re probably just trying to save face with angry consumers who are just looking to buy cards for their normal use but can’t.

It doesn’t mean shit, retailers can’t tell the difference between a gamer or a crypto miner. Regardless, Nvidia can point to this and say “we tried”