Analysts suggest that the price of graphics cards begin to fall
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Graphics card prices in general have been a bit high in the past year. And this despite the arrival of new generation cards and the precipitous fall of GPU-based mining.
AMD and NVIDIA partners face excess stock
AMD and NVIDIA's strategy has been to keep prices higher to smooth the fall of the cryptocurrency boom. At the same time, they expected it to rise again to justify the GPU inventory they have accumulated due to their overproduction.
Many users, however, have simply chosen not to upgrade their older hardware due to high prices. So now, manufacturers are faced with the need to create promotions and lower the prices of their graphics cards to get rid of excess inventory.
According to Digitimes , the price decline has started. Initially, manufacturers have started with short offers to test the waters, but it seems that it is a trend that is here to stay. Frontline partners at AMD and NVIDIA are finally seeing revenue rise again, despite low profitability. The alternative could be much worse, so the only option is to finally take the hit.
So far, Radeon RX580 and lower graphics cards have seen a rapid decline in prices, while those for Nvidia's GeForce GTX 1060 and 1070 cards have also seen a significant decline, according to sources.
Of course, NVIDIA is introducing a host of new affordable cards and slashing the prices of existing ones to ease the burden on partners. AMD is also suffering from pressure from NVIDIA and the market, so it is lowering its prices to compete with the green giant and its new graphics.
These can be very interesting months.
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