AMD GPU sales tanking

[GoogalyMoogaly]

Everyone wants AMD to keep making GPUs, but unfortunately it seems currently most people don't want AMD to make their GPU!

Unfortunately it doesn't seem like there's a quick fix. AMD have spent a long time getting into this position so it'll probably take a while to get out.

When Nvidia were spending time and money R&Ding efficiency, GSync, DLSS and RT, AMD were spending time putting 4GB HBM on a card and putting an audio chip on their GPUs. Then when it turned out customers would rather have GSync and DLSS than an audio chip AMD had to come up with a competitor as cheaply as possible and hope they could make it good enough that people will go "AMD are such good guys I'll put up with this..."

I jest of course, sort of...

 

[Gerard]

AMD bought ATI in 2006, but the first AMD GPU was the HD 4870, still branded ATI at this point.

Don't even recall what was the last ati branded card, might well have been the 4000 series.

 

[humbug]

Don't even recall what was the last ati branded card, might well have been the 4000 series.

HD 5000 series was the last ATI branded card.

HD 6000 series was the first AMD branded.

 

[ooStevo]

AMD bought ATI in 2006, but the first AMD GPU was the HD 4870, 2008, still branded ATI at this point.

My god was it that long ago? I had a 4830,4850 and a 4870. Then a 5850. Anyone got a time machine?

 

[CAT-THE-FIFTH]

Indeed, most of the resources were shifted to the cpu division for Ryzen, so the gpu division just had to make do with whatever limited budget they had to work with.

Ultimately Zen did save the company.

 

[Gerard]

Ultimately Zen did save the company.

I think by this point that's a given. They gambled the company on it essentially and it worked.

 

[humbug]

My god was it that long ago? I had a 4830,4850 and a 4870. Then a 5850. Anyone got a time machine?

Yeah, makes you feel old... Cars that i remember being brand new that are now "Classics"

 

[Rroff]

Everyone wants AMD to keep making GPUs, but unfortunately it seems currently most people don't want AMD to make their GPU!

Unfortunately it doesn't seem like there's a quick fix. AMD have spent a long time getting into this position so it'll probably take a while to get out.

When Nvidia were spending time and money R&Ding efficiency, GSync, DLSS and RT, AMD were spending time putting 4GB HBM on a card and putting an audio chip on their GPUs. Then when it turned out customers would rather have GSync and DLSS than an audio chip AMD had to come up with a competitor as cheaply as possible and hope they could make it good enough that people will go "AMD are such good guys I'll put up with this..."

I jest of course, sort of...

I've said it before but it came up in conversation again recently at work (people buying 4070s over faster or cheaper AMD cards) - I think AMD's approach to ray tracing has actually hurt them quite a lot - it is one metric the general public considers even if/when in the next breath they then say they don't even bother with ray tracing.

 

[ooStevo]

Yeah, makes you feel old... Cars that i remember being brand new that are now "Classics"

I also remember my 4400ti !
Also wasn't the first AMD branded cards the HD6000 series? I remember my 5850 having ATI branding.

Also my dad had an XR3 I think it was. Me and my cousin nicked it while he was in Scotland. He still doesn't know lol.( It was about 27 years ago and I didn't do it btw)

27 years.....

 

[kute]

I've said it before but it came up in conversation again recently at work (people buying 4070s over faster or cheaper AMD cards) - I think AMD's approach to ray tracing has actually hurt them quite a lot - it is one metric the general public considers even if/when in the next breath they then say they don't even bother with ray tracing.

You're right about that. I play nothing but iracing in VR these days, but even if that half hour of quake 2 RTX is the only "rtx" I ever get out of this 4080, I don't want to perceive myself as not having a feature just for the sake of not having it.

Also, while DLSS is too ugly for VR, FSR is much worse. I know from doom eternal last year that DLSS quality on a normal screen looks just like native, but seeing them up close in VR on ACC/AC, FSR looks noticeably worse.

With that said, if they have no VR issues in the next cycle, I'm going to be very interested in AMD's top end

 

[MCFC_ANDY]

AMD have a habit of peeing off gamers by under delivering/over pricing. its in their dna they trying to turn it around, decent prices out there atm. but as usual too little too late

 

[F4FF3R]

I just cannot bring myself to spend £500 on a card. It's a hell of a lot of money, and they just don't have that perceived value to me!

I've been AMD for a very long time. Think I had a RAGE 128mb first. Nv just aren't an option with their shady practices...

So I will just wait a few more gens if I have to. Or not bother at all.

Worst comes to worst I'll get a Steam Deck and this PC will just get old.

 

[Dave2150]

AMD's graphics card sales just took a nosedive | Digital Trends

AMD just reported its financial results for the first few months of 2024, and its gaming business isn't doing so hot.

www.digitaltrends.com

AMD confirms Radeon GPU sales have nosedived

As part of its Q1 2024 financial report, AMD highlights that a decline in its 'Gaming' revenue is due to lower sales of its Radeon GPUs.

www.pcgamesn.com

I'll preface this by saying that I'm a 7900XT user. But am I surprised? Totally not.

Yes, AMD has to make some profit with their GPUs, but they're priced so close to their team-green alternatives that for most users, it would be better to pay the extra and get an nvidia gpu instead.
You get more VRAM with Radeon cards, but...

...Team green has better ray-tracing, DLSS is better baked compared to FSR, not to mention CUDA and NVENC
And for this gen, RTX 4k also has better (less) power draw and spikes
In general, nvidia has better resale values that negates the slightly higher up front costs

I can't see how AMD can compete without taking a massive haircut to their RRP

Sadly I believe this is why AMD is rumoured to not be releasing a new generation of gaming GPU to complete with the upcoming RTX5000 series. They know it'll be a huge loss for them, so it's likely better they focus on AI/business use instead.

Nvidia already had > 80% of the dedicated GPU market share as of September 2023 - that's likely increased since then, so it was happening naturally anyway.

I expect Nvidia to reach 90% market share in 2025.

 

[Joxeon]

I've said it before but it came up in conversation again recently at work (people buying 4070s over faster or cheaper AMD cards) - I think AMD's approach to ray tracing has actually hurt them quite a lot - it is one metric the general public considers even if/when in the next breath they then say they don't even bother with ray tracing.

It's is all down to price though, a quick look online and the cheapest 7800XT is £450 while the 4070 is £470, with the 7900GRE its £520 while the 4070S is £540.

This makes AMD only 3-4% cheaper with worse RT and upscaling ok you get a bit more VRAM on AMD but even 12gb is fine for the most part on 1440p which is where these cards are aimed, AMD is just not competitive enough on price.

 

[Trig]

I went 3080FE on my last card, I could have gotten an AMD card, but as mentioned above, while you get more RAM, the 'additional features' on the NVidia stuff gives it the lead..
It'll last me a good while as well, my previous card was an RX580, so I suspect the 3080FE will last me a while yet...

 

[TNA]

It's is all down to price though, a quick look online and the cheapest 7800XT is £450 while the 4070 is £470, with the 7900GRE its £520 while the 4070S is £540.

This makes AMD only 3-4% cheaper with worse RT and upscaling ok you get a bit more VRAM on AMD but even 12gb is fine for the most part on 1440p which is where these cards are aimed, AMD is just not competitive enough on price.

Exactly. Much rather pay the extra. Worth it for DLSS alone. You save on vram by using DLSS anyway.

If you went AMD you would end up in the native is king camp real quick after trying FSR

 

[Murphy]

It's is all down to price though, a quick look online and the cheapest 7800XT is £450 while the 4070 is £470, with the 7900GRE its £520 while the 4070S is £540.

This makes AMD only 3-4% cheaper with worse RT and upscaling ok you get a bit more VRAM on AMD but even 12gb is fine for the most part on 1440p which is where these cards are aimed, AMD is just not competitive enough on price.

If rumours are to be believed I'm guessing AMD was expecting everything from x800 down to perform better than they did, based on how the price/performance of x900 and up compares it's probably safe to assume cards like the 7800XT were meant to be closer to 4070Ti territory than 4070's.

Had AMD managed to achieve 4070Ti levels of performance in a $600 card i think people would've had a very different impression. Question is will they manage to achieve that level of price/performance with this so called bug fix or will it be too little too late.

 

[Rroff]

It's is all down to price though, a quick look online and the cheapest 7800XT is £450 while the 4070 is £470, with the 7900GRE its £520 while the 4070S is £540.

This makes AMD only 3-4% cheaper with worse RT and upscaling ok you get a bit more VRAM on AMD but even 12gb is fine for the most part on 1440p which is where these cards are aimed, AMD is just not competitive enough on price.

Though you can get them cheaper most people are looking at £500+ Asus, etc. cards Asus annoyingly has strong mindshare with general consumers. I'm generalising a bit but the 4070 was the most talked about and/or card people were buying. (~£500 seems to be the cut-off point with general consumers though, only really enthusiasts seem to consider spending into the higher tiers).

I dunno how much is down to the demographic I work with but surprisingly interest in PC gaming is slightly resurging lately even amongst the younger ones who in recent years were almost exclusively interested in consoles.

 

[Joxeon]

If rumours are to be believed I'm guessing AMD was expecting everything from x800 down to perform better than they did, based on how the price/performance of x900 and up compares it's probably safe to assume cards like the 7800XT were meant to be closer to 4070Ti territory than 4070's.

Had AMD managed to achieve 4070Ti levels of performance in a $600 card i think people would've had a very different impression. Question is will they manage to achieve that level of price/performance with this so called bug fix or will it be too little too late.

The 7800XT released 9 months after the 7900 series so AMD should have known by then exactly where the performance would land.

Also RDNA3 has been out 17 months so if there was a major bug holding back performance then you would have hoped it would have been fixed by now.

 

[Murphy]

The 7800XT released 9 months after the 7900 series so AMD should have known by then exactly where the performance would land.

Knowing something and being able to do anything about it are two entirely different things. You can redesign, test, and fabricate an entire architecture in 9 months.

Also RDNA3 has been out 17 months so if there was a major bug holding back performance then you would have hoped it would have been fixed by now.

You mean like they're rumoured to be doing with RDNA4.

e: I mean the lead time alone on TSMC's advanced nodes is rumoured to be in the 40-50 week range, that's 9-10 months right there in just telling them you want to change something to them actually being able to change it.