The graphics card shortages should subside by the second half of 2022, or at least that’s what NVIDIA’s numbers indicate. Company CFO Colette Kress stated this at the UBS Global TMT conference on Monday while discussing NVIDIA’s inventory levels. NVIDIA has been reporting record revenue figures for both the gaming and data center segments over the past few quarters (despite a limited supply of components). It’s worth noting that while archrival AMD relies on TSMC’s heavily contested N7/N6 process nodes, Team Green is leveraging Samsung’s 8nm LPP node for its GeForce RTX 30 series lineup.
The company as a whole will take the appropriate work to continue to procure more supply. We’ve been able to grow quite well during this year, each quarter, sequentially growing. And we do continue to plan to do that for Q4. So we believe we will be in a better situation in terms of supply when we look at the second half of next year. Longer-term can be more than a year. You’ve seen us now enter into agreements that will take us out many years in terms of long-term capacity needs.
We’ll have to wait until we finish the holiday season to see how that inventory in the channel is looking. We’d love to bring that back down (the pricing). We believe bringing that down really just takes providing a reasonable amount of supply in the market versus the lean amounts that we have todayColette Kress, NVIDIA CFO
NVIDIA is expected to launch its next-gen RTX 40 series “Ada Lovelace” graphics cards in the second half of 2022. These GPUs will be fabbed on TSMC’s N5 (5nm EUV) node, and offer multiple fold improvement in gaming performance compared to existing Ampere SKUs. However, considering that pretty much every chipmaker from AMD, Intel, and Qualcomm will be tapping into TSMC’s N5 node means that the race to reserve capacity will be tougher than ever.
NVIDIA’s RTX 30 series cards have all been updated to include the “LHR” Ether hash rate limited to dissuade miners from hoarding GPUs meant for gamers. However, smart hacks from mining pros have more or less nullified NVIDIA’s efforts to curb mining.