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Manufacturers of motherboards and graphics cards see a black future in 2019

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Taiwanese suppliers of motherboards and graphics cards are expected to see very black business prospects in the first half of 2019, due to a number of adverse factors that emerged in the third quarter of 2018, including the sustained decline in the business sector. crypto mining, Intel CPU shortages, and the blessed US trade war. and China, according to industry sources.

The first half of 2019 does not look good for the manufacturers of motherboards and graphics cards

Industry sources said the negative factors sharply increased inventory levels at Asustek Computer, Gigabyte and other manufacturers of motherboards or graphics cards in the third quarter of 2018, causing their high season earnings to fall below expectations.

Fourth-quarter revenue prospects are further eroded by sluggish demand from the PC market, little growth momentum in the Chinese market, and performance 'negligible improvements' from new Nvidia GPU platforms at relatively low prices. high, according to sources continued.

Manufacturers of motherboards and graphics cards are expected to face tough challenges in the first quarter of 2019, with profitability cut in half. This, along with the possibility that Nvidia and Intel will raise their chip prices to maintain profitability, may lead manufacturers to a first half of 2019 with low numbers.

ASUS, Gigabyte numbers fall in last quarter

Asustek saw its third-quarter net profit drop 43% annually. It is also estimated to estimate that annual Gigabyte motherboard shipments for 2018 fell below 12 million units, down from 12.6 million in 2017, and that its 2018 graphics card shipments will drop to the level of 2016 of 3.65 million units, which is one million units less than in 2017.

Nor can we forget recent declines in NVIDIA stocks in recent days.

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