Bad news for amd and nvidia, the first ethereum asics arrive

There are currently no ASIC chips specialized in mining Ethereum, so the only way to do this is through AMD and NVIDIA commercial graphics cards, but it looks like that is going to change very soon.

The first ASIC chips to mine Ethereum arrive

The Bitmain company is going to launch the first ASIC chip capable of mining the Ethereum currency very soon, something that could be very positive for PC users, but not so much for graphics card manufacturers.

Analyst firm Susquehanna has slashed AMD and NVIDIA stock prices following confirmation of Bitmain's first ASIC Ethereum chip. There has been talk of such a product for months, and Susquehanna, via analyst Christopher Rolland in a note to customers on Monday, cited her travels in Asia as a source of information.

Graphics cards are one of the main sources of income for AMD and the main source of NVIDIA. A special ASIC chip for mining Ethereum would make many miners invest directly in it, not needing a commercial video game graphics card. This will negatively impact AMD and NVIDIA revenue, but it will surely also get the stock of graphics cards back in stores, lowering prices little by little.

As a result, the analyst lowered its AMD share price target from $ 13 to $ 7.50, representing a 29% decrease from Friday's close. The forecast for NVIDIA shares was also lowered from $ 215 to $ 200, but NVIDIA did not see a downgrade (remained neutral), while AMD fell from neutral to negative.

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