It’s crazy to imagine that enthusiasts might have to wait another year before they can get a graphics card without going through the hassle of sifting through endless, overpriced listings or dealing with third-party sellers, but apparently, that’s going to be a very realistic possibility.
Speaking during this week’s Q2 2022 earnings call, NVIDIA CEO Jensen Huang was asked by Evercore’s C.J. Muse to elaborate on how bad the supply constraints actually were and when he thought they might ease so gamers would have an easier time finding GeForce RTX graphics cards on physical or virtual shelves. Huang did not have good news.
While the CEO pointed out that NVIDIA had secured “pretty significant long-term supply commitments” for the different marketing initiatives that the company has set itself up for, Jensen went on to admit that supply constraints will likely be a problem for most of 2022. “[…] I would expect that we will see a supply-constrained environment for the vast majority of next year is my guess at the moment,” Jensen said.
“But a lot of that has to do with the fact that our demand is just too great,” the CEO explained. “RTX is really a once-in-a-generation reset of the computer — modern computer graphics. Nothing like this has happened [Indiscernible] computer graphics. And so the invention is really [Indiscernible] and you could see its impact.”
NVIDIA will reportedly launch its first GeForce RTX 40 Series graphics cards featuring the Lovelace architecture by late 2022. Those might be a bit challenging to find.
Arguably the two biggest disclosures from $NVDA's call:
— Eric Jhonsa (@EricJhonsa) August 18, 2021
– CMP (mining GPU) revenue is expected to be "minimal" going forward, with Nvidia's sales guided to be up $500M+ Q/Q excluding CMP.
– Gaming GPU demand is expected to exceed supply for "the vast majority of next year." pic.twitter.com/fehgZan3qw
Okay. We’re supply constraint in graphics and we’re supplying constraining graphics while we’re delivering record revenues in graphics. Cloud gaming is growing, cloud graphics is growing. RTX made it possible for us to address the design in the creative workstations. Historically the rendering of ray tracing and photorealistic images have largely been done on CPUs.
Source: Seeking Alpha (via EricJhonsa)