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Nvidia rumour to be launching new GTX 11 series without ray tracing

Flake87

Flake87

Flake87

Associate
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Nvidia is in trouble, after a spectacular fall in profits and its share value. In fact the problems are so bad the company is the worst performing in Standard & Poors 500, they are also being sued by shareholders in a class action https://cointelegraph.com/news/nvid...ver-losses-after-diminished-mining-gpu-demand A quick fix, and as others have commented might well be a lower spec high performing card without the fancy bells and whistles which most gamers neither want nor need.

The article claims that NVidia hsa moved from profit to a loss making situation, and it needs to get out of that, or at least show it has some plans of how that might be achieved. A new line of pared down cheaper GTX cards might just be the way to do that.
 
Marine-RX179 said:
As much as I don't agree with some of Nvidia's decisions or business practices, I think the shareholders trying to sue Nvidia with a class-action lawsuit is a freak-en joke.

Investment comes with risk of losing money hello!!!??? Stop being bunch of entitled self-important immature kids throwing a tantrums.
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If you read the article there is a claim NVidia misled them. Clearly investment comes with a risk and a lawsuit based solely on that could never succeed, however Nvidia “touted its ability to monitor the cryptocurrency market and make rapid changes to its business as necessary.” they also said “Any drop off in demand for its GPUs amongst cryptocurrency miners would not negatively impact the Company’s business because of strong demand for GPUs from the gaming market.”

If you tell your investors that your company is not going to be affected by certain market conditions, and it then transpires you are the most heavily affected out of all companies, there is clearly a case to answer.
 
wellibob said:
The RTX cards just need sensible pricing. As it stands its a bit of a joke and a reasonable price will urge/nudge people into buying one. 2080 and 2070 just fail as products with a usable Ray tracing feature/boost. It needs to be possible to make the 2070 Ray tracing useful going forward and drop them prices, and by half
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It's not going to happen with NVidia in a loss making situation, they need all the profit they can get so price cuts are not an option. Trimming down the number of die on a card is a sensible work around preserving the price point saving face, and most important of all generating profits through volume sales. No company can exist for ever without profit and the pressure is certainly on the directors now. With no alternatives like self driving cars, or mining how else are NVidia going to generate profits they so urgently need?
 
bru said:
Ok so what do you think is happening?
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"Graphics processing unit (GPU) producer Nvidia is facing a class action lawsuit over the losses reported by the company when lower crypto prices diminished demand for GPUs by miners".

Given that Nvidia is the worst performing stock and is reporting losses I'd say it has a pretty big problem to address.
 
With the talk of consoles, how many of the games developers design games first for consoles, because that is where the volume sales are, and then port them over to PC with a minimum of work to save time & money, meaning that GPUs aren't really being stretched all that much anyway?
 
https://www.extremetech.com/gaming/282982-its-easy-being-green-looking-ahead-to-nvidia-in-2019

An overview of NVidia for 2019 and its product range, plus a few more comments about a rumoured GTX 11 series:

"The consumer GPU picture is a little less clear. With Turing now in-market at $500 and above, the next step is the RTX 2060 and whatever 11-series cards Nvidia is pairing with it — exactly what the company’s new product stack will look like and how it will interleave GTX and RTX cards is unclear, but we’re seeing enough information concerning an upcoming 11-series launch to think such overlap is likely. I’ve theorized before that Nvidia could bring 7nm GPUs to market as early as 2019, making Turing a relatively short-lived product."
 
A new fourth class action lawsuit has been lodged against NVidia yesterday along the same lines as the others:

https://www.techspot.com/news/78060...-lawsuits-following-cryptocurrency-crash.html

"According to the Complaint, the Company made false and misleading statements to the market. NVIDIA touted its ability to monitor the cryptocurrency market and make rapid changes to its business as necessary. The Company claimed to be “masters at managing our channel, and we understand the channel very well.” NVIDIA also claimed to the market that any drop off in demand for its GPUs amongst cryptocurrency miners would not negatively impact the Company’s business because of strong demand for GPUs from the gaming market. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about NVIDIA, investors suffered damages."

Nvidia's stock is still plummeting and seems to show little sign of stabilising. The business model urgently needs to be reviewed if NVidia is going to survive in the longer term. The current strategy is highly dangerous as it is a single technology unique to NVidia and at a price point few will buy into. This leaves a massive gap in the market for other entrants such as Intel, Google, AMD, etc etc to exploit and if they can produce a decent card which will sell for $600 - 800 they will take a large chuck of NVidias market share. It seems that Jensen thought the good times would last forever, and built a strategy of ever increasing prices on the assumption buyers would always stump up the readies for his latest cards.
A business strategy which sees a launch of slimmed down cards at lower prices would be the most sensible move, as it closes the door on a market gap and makes it much more difficult for new entrants to gain a foothold in the market, as many have commented here, they probably would buy a new value line of GPU but won't shell out for RTX at the current prices.
 
dragonslayer said:
Nvidia are actually stuck in a hard place right now if they do make a none RTX line of cards they'll have to underperform otherwise no one will buy the RTX variation but if they lower the performance to much AMD will "overtake" them so either way Nvidia will lose out
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Underperform depends on the price point of course. So long as they don't make something which is 1080Ti equivalent for less money, they might be OK. A 1070Ti model equivalent at similar price with better performance might work for them.

The cheapest way to do this is to just use the GPU chips from the RTX cards and leave the other chips off, meaning the manufacturing price comes right down, development costs are kept low and then they market it as a lower end product. The technology isn't going to be around for long anyway, and the hope will be that neither will the economic situation, so they can offer this line up as a temporary quick fix.
 
The new GTX11 series explained:

https://www.fool.com/investing/2019/01/03/understanding-nvidias-brilliant-move.aspx

Interesting that the average price of an Nvidia graphics card is only $200 and it does make sense to offer cards to a market which will not pay anywhere near the prices of an RTX card.

I have to say though, there is going to be precious little incentive for games designers to include ray tracing in their games just to satisfy such a tiny market segment.
 
https://www.dailymail.co.uk/news/ar...ocked-300m-value-gone-rotten-heart-Apple.html

Ok it's the Daily Fail, but the article has a point, because Apple has seen $333 Billion - an amazing number knocked off its share value, and it's a similar story to NVidia, in that the company thought the could increase the cost of their product indefinitely and that at 4 figures for a phone, more than a high spec laptop costs, customers would still be beating a path to their doors to buy it. That philiosophy came to a grinding halt this year when buyers simply said no to a phone which would be obsolete in a year and then on sale for half the original asking price.

NVidia and the Apple campus are within spitting distance, I expect people in this business are pretty chummy and talk to each other. It will be interesting to see how Apple deals with this because there's a good chance NVidia will copy them.
 
The point is though that phones will last a year or maybe two, just like GPUs, and the number of people prepared to drop 4 figures on tech like that is falling, not just phones but GPUs as well, although there are always some financially gifted individuals who don't see it as an issue.
 
https://www.dailymail.co.uk/science...p-staggering-446-BILLION-just-two-months.html

Here's another one with Goldman Sachs calling the company out for 'greed' which sounds awfully familiar. "'In our experience with mobile phones, when pricing power is lost, consumer technology companies tend to either lose margins or market share or both.' "

But the point here is not about Apple, and God knows it has enough good reason for criticism, but NVidia who seem to have viewed Apple as an example to follow.
 
https://www.forbes.com/sites/jasone...ment-is-more-than-meets-the-eye/#6a1e71c76b4d

"Nvidia has finally announced it will start introducing G-Sync compatibility to non G-Sync displays."

"We're going to test every async monitor the world has made, and for the ones that pass, we're going to certify them, and we're going to optimize the software to support them, and we're going to turn it on in our software so that whatever Geforce customer enjoys that panel can now enjoy it as if they purchased a G-Sync monitor."
 
The point is with this, it's the same as the GPU issue. NVidia overpriced its tech and take up was so low that freesync overtook it in the market and the take up for Gsync was comparatively low. NVidia has seen this, and reacted, since the Apple issue, but will it move on its GPU stance?
 
I don't know that's true, as sales of RTX cards might not have been what NVidia hoped for and plenty of high profile sites have advised against a new technology with few games which support it. A lot of people were hoping for 1080Ti + performance without the price gouging from mining and there has been fierce criticism of the price of the new cards. With NVidia also facing plummeting share values this might be a very sensible move as the next generation RTX cards will have much more media and a customer base expecting the prices they want.
 
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