AMD’s Radeon RX 7900 series is turning out to be less impressive than anticipated. Despite featuring a chiplet design with disaggregated Memory Complex Dies (MCDs), the Navi 31 cards have a fairly steep BOM (Bill of Materials). While NVIDIA’s GeForce RTX 4080 costs roughly $300-$350 to manufacture, the Radeon RX 7900 XT/XTX can go as high as $500, if not more.
Kepler and Chinese enthusiasts on the Chiphell forums pointed out, AMD might sell the Radeon RX 7900 XTX at a loss or with the bare minimum profit margins. The increased costs come from the Memory Complex Dies (MCDs) and the larger L3 cache buffers, in addition to the Infinity Fanout Links connecting them to the Graphics Compute Die (GCD).
Update: There is no concrete evidence that the Radeon RX 7900 series will be sold at a loss, but the profit margins will be slimmer than the RTX 4080.
The reference boards also come with premium-quality components, including a 14-layer PCB (4 layers of 2 2z. copper), 20-phase power supply, x2 Display Port 2.1 ports, HDMI 2.1a, etc. What’s ironic is that AMD is likely (educated guess) paying more for the 24GB of GDDR6 memory than NVIDIA. Production costs of the Micron-NVIDIA co-designed GDDR6X memory have decreased drastically over the past year, allowing the chipmaker to utilize it across its Ada stack.
The GeForce RTX 4080 leverages the (partially enabled) AD103 die, which should cost roughly $150. Add the price of the GDDR6X memory and the PCB, and we get an overall figure of $300-$400.