This is because demand for PC hardware is decreasing due to the prospect of a recession, as well as the fact that many people who needed to replace their computers did so immediately before the epidemic.
Furthermore, Nvidia is currently selling fewer GPUs to miners, partially due to the crypto slump and partly due to Ethereum’s shift away from GPU mining.
One year ago, it was practically hard to find a graphics card in stock, let alone at the MSRP, due to a chip shortage and the crypto frenzy.
After a year, the GPU shortage ended. However, a new issue has emerged: ‘excess inventory.’
According to Nvidia’s CEO, Jensen Huang, who confirmed this during the company’s Q2 2023 earnings call yesterday, the business is facing ‘over inventory’ of the RTX 3000 series GPU when it intends to introduce the next-gen RTX 4000 series later this year, as first reported by ArsTechnica.
To address this, Huang stated that the business will reduce the quantity of GPUs sold to manufacturers of graphics cards and laptops for those manufacturers to clear up their existing inventories.
GPU stock shortage -Related video here ????????????
Huang also stated that Nvidia has opted to reduce the cost of the RTX 3000 series cards to make place for the upcoming RTX 4000 series. The price decreases will eventually be passed on to consumers, but how they are implemented is entirely up to Nvidia’s partners.
Nvidia announced earlier this month that it will miss its quarterly predictions by $1.4 billion, owing mostly to lower demand for its gaming GPUs.
Huang said that the number of cards sold to consumers has climbed by 70% since pre-COVID times, but Nvidia still expects year-over-year GPU sales to fall next quarter.
Demand for PC hardware is decreasing due to the prospect of a recession, as well as the fact that many people who needed to replace their computers did so immediately before the epidemic.
Furthermore, Nvidia is currently selling fewer GPUs to miners, partially due to the crypto slump and partly due to Ethereum’s shift away from GPU mining.
Final thought
However, for PC builders seeking to purchase a new gaming PC, now is the time to do it.
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