Desktop GPU Shipments Down 16% Year on Year

AlphaAtlas

AlphaAtlas

[H]ard|Gawd
Staff member
Joined
Mar 3, 2018
Messages
1,713
According to Jon Peddie Research, GPU shipments in Q3 2018 are down 2.2% compared to Q3 2017. But that decline is largely due to a 16% drop in desktop graphics shipments, as notebook graphics shipments actually increased by 7% year on year. Both AMD and Nvidia lost marketshare to Intel compared to last quarter, and the percentage of PCs that shipped with discrete GPUs dropped to to 31.61%. Thanks to VentureBeat for spotting the report.

"The effect of crypto-mining on desktop discrete GPU sales is over, leaving AMD and Nvidia with an oversupply in the channel and impacting shipment levels," said Dr. Jon Peddie, President of JPR. "The U.S. tax increase on products from China has had a small effect which may worsen in Q4. The drop in the U.S. stock market has caused consumers and enterprise to hold off on purchases. All of that has contributed to the slow sell-off of inventory in the channel, which has reduced demand to the suppliers."
 
Another perspective. Not mine, but a co-worker's.

Why the heck (so I watered it down,...what ya gonna do,..fire me?) should I replace my existing video card when the amount I am welling to spend, will only buy me a card that is slower than my current card?

With the current pricing, I think they have crossed the threshold of pain for many people who would buy a new video card.
 
Last edited:
BSmith said:
Another perspective. Not mine, but a co-worker's.

Why the heck (so I watered it down,...what ya gonna do,..fire me?) should I replace my existing video card when the amount I am welling to spend, will only buy me a card that is slower than my current card?

With the current pricing, I think they have crossed the threshold of pain for many people who would but a new video card.
Click to expand...

This is me exactly. I'm dying for an excuse to buy a new card. But everything I am willing to pay is, at best, a sidegrade. I was waiting for the 20 series in the hopes we would see the "flagship performance for a reasonable price" that usually comes with a new series. But the value proposition did not change at all.

And so I wait.
 
New releases have been such a disppointment.

I've been going back to games I never finished or tried like skyrim, warframe, no mans sky. My 1080 is plenty of muscle for those.

What would a 2080ti get me? 60fps in battlefield V.0? Meh, certainly meh compared to 1500$.

There is a coming economic and currency collapse. If I save or invest that 1500 I'll be able to buy about 7x the amount of assets once the crash hits.

These 20xx prices would be more appropriate if there were lots of great new games and skyrocketing bitcoin. We are in the exact opposite situation.

I would bet in 9 months these 20x0 prices will be almost half of what they are today.

I can wait longer then they can.
 
I have an old 970 and play at 1080p. I do not own a game that does not run on it. My son is playing on an old i5 with a 1060. Just Cause 3 has a few hiccups during huge explosions but for the most part runs everything. Sorry you have not brainwashed me into thinking I have to play at 4k, I don't care how many 4 digit pricetag products you throw at me on YouTube. How about going back to the days where a midrange card was just under $200 and was good a few years?
 
We are getting diminishing returns in graphics. Games already look great on 9 and 10 series cards by Nvidia. Not worth it at current prices to improve graphics only slightly. Especially if you do not game at 4k.
 
The wife an I have a 1080 in our gaming pcs that we put in early last year. Not seeing a need to upgrade even with the 20 series so far. Rather spend the money on new monitors, only with 1080p 60hz
 
Darunion said:
The wife an I have a 1080 in our gaming pcs that we put in early last year. Not seeing a need to upgrade even with the 20 series so far. Rather spend the money on new monitors, only with 1080p 60hz
Click to expand...
well, you two kid's are gonna be in for a treat. if you go 120+hz gsync.
 
Bought 1070 with free game for $330 AR on black friday years ago. And i can replace it with something that is 25-50% for the same price when? This thing of increased performance gen to gen cost more needs to end. If i wanted to spend 25-50% more than $330 for increased performance, i would have bought a 1080 back then.
 
I would like to buy another system and corresponding GPU but with no competition from AMD, meh performance gains over what I bought 1.5 years ago, ridiculous price to performance ratio, concerning product quality, and features I'm not sure will be adopted widely I really don't see any reason to. This is probably the longest I have kept my current hardware without feeling I am missing out since getting into PC gaming in 1998.....
 
BSmith said:
Another perspective. Not mine, but a co-worker's.

Why the heck (so I watered it down,...what ya gonna do,..fire me?) should I replace my existing video card when the amount I am welling to spend, will only buy me a card that is slower than my current card?

With the current pricing, I think they have crossed the threshold of pain for many people who would buy a new video card.
Click to expand...

About time nVidia realize that there's only one Apple.
 
  • Like
Reactions: Jza
like this
Start of the year gamers could not buy cards as they were out of stock or prices were too inflated if they had some due to miners and now due to the silly prices from the manufacturers, they did somehow seem to conveniently forget that the mining boom has faded and most gamers wil not pay these silly amounts.
 
  • Like
Reactions: JMCB
like this
The report points out that although there was a 16% drop in desktop graphics from last year, last year's desktop graphic sales were heavily bloated because of the crypto frenzy. As crazy as things were in the Fall of 2017, I'd be willing to say there was a 16% bloat last year and general disinterest this year.

If you follow the link, what I liked best is that you can read his synopsis, which pretty much says it all, but you can also buy the whole report (boring!) for $5,000.00. Wall Street companies buy those reports, though, so that if there is ever a hint of questionable trading they can point to a city block's worth of current verbiage, so much that an entire herd of goats couldn't chew through the printed copies, and say that their trading is supported by their extensive research.

Kyle, you need to start [H]OCPR Market Watch Analysts and start throwing down $5,000.00 Wall Street reports.


P.S. But then you'd need to hire a full time lawyer, or something weird.
 
Last edited:
sboucher said:
Maybe nVidia needs to take a closer look at their pricing model.. As it stands if all most people can afford are mainstream shitty cards that cost the same amount as a console, well, people are just going to buy consoles.
Click to expand...

I'll bet you $10, not joking, Nvidia will never drop the price of their flagship card to what it should have been, $800. Everyone take note, these prices are here to stay and I'll eat crow if I'm wrong,
 
Ski said:
I'll bet you $10, not joking, Nvidia will never drop the price of their flagship card to what it should have been, $800. Everyone take note, these prices are here to stay and I'll eat crow if I'm wrong,
Click to expand...
I think you'll be choking on feathers.
Numerous times in the past, prices have taken a jump for 1 release when it has cost more to manufacture the performance winning card or push new tech, then dropped back.
I expect there to be an inflation related increase and perhaps a little more due to it being more difficult to extract performance, but not close to what we have seen this gen from NVidia.
There are also lessons to be learnt if they want to harvest from easier releases - Nvidia.
But I dont expect this was lost on them at any point.

Each time this happens they get to see how many people are prepared to pay top whack and what top whack is.
 
I can say one thing--good. I was glad to hear they did not meet targets for the 20 series in the last earnings announcement. If people kept buying at these crypto bubble prices that means they're here to stay a while.
 
AlphaAtlas said:
According to Jon Peddie Research, GPU shipments in Q3 2018 are down 2.2% compared to Q3 2017. But that decline is largely due to a 16% drop in desktop graphics shipments, as notebook graphics shipments actually increased by 7% year on year. Both AMD and Nvidia lost marketshare to Intel compared to last quarter, and the percentage of PCs that shipped with discrete GPUs dropped to to 31.61%. Thanks to VentureBeat for spotting the report.

"The effect of crypto-mining on desktop discrete GPU sales is over, leaving AMD and Nvidia with an oversupply in the channel and impacting shipment levels," said Dr. Jon Peddie, President of JPR. "The U.S. tax increase on products from China has had a small effect which may worsen in Q4. The drop in the U.S. stock market has caused consumers and enterprise to hold off on purchases. All of that has contributed to the slow sell-off of inventory in the channel, which has reduced demand to the suppliers."
Click to expand...

The shipment number: does it include all the 2080 RMAs under the initial order, or separately?

;)
 
the salt when nvidia drops price on the rtx cards will be awesome to see.

I'm might be using my vega 64 at 2k for a good long time unless the full power navi is actually an upgrade.
 
I'd love to buy a new card for my rig and make a dedicated VR rig with my 1080. Problem is, to get any sort of upgrade I am looking at $500+ (used), and this card is well over 2 years old.

So no, with current pricing I am not in the market for a new card.
 
Nenu said:
I think you'll be choking on feathers.
Numerous times in the past, prices have taken a jump for 1 release when it has cost more to manufacture the performance winning card or push new tech, then dropped back.
I expect there to be an inflation related increase and perhaps a little more due to it being more difficult to extract performance, but not close to what we have seen this gen from NVidia.
There are also lessons to be learnt if they want to harvest from easier releases - Nvidia.
But I dont expect this was lost on them at any point.

Each time this happens they get to see how many people are prepared to pay top whack and what top whack is.
Click to expand...

Right,

The 8800 GTX and Ultra was the first time a top-end and Halo card topped $650 and $830 respectively.

https://www.anandtech.com/show/2222

But one year after the release of the 8800 GTX, the 8800 GT completely decimated pricing.

https://www.anandtech.com/show/2365

A die shrink and an architectural reshuffling was all it took to drop prices by half. We could see price drops in a year or two, once TSMC 7nm becomes mainstream.
 
I deny to buy a 2080Ti which is the only upgrade path for me from 1080Ti + Water+ OC at these prices. I am buying a Pro 32" 4K monitor with this money which will improve my workflow that consumes 95% of my PC time. I don't game much and when I do it's just for fun. I would buy a 2080Ti at $800 though.
 
Hatriot said:
I have an old 970 and play at 1080p. I do not own a game that does not run on it. My son is playing on an old i5 with a 1060. Just Cause 3 has a few hiccups during huge explosions but for the most part runs everything. Sorry you have not brainwashed me into thinking I have to play at 4k, I don't care how many 4 digit pricetag products you throw at me on YouTube. How about going back to the days where a midrange card was just under $200 and was good a few years?
Click to expand...
I'm in the same boat - my 970 still works fine at 1080. I am building a new system soon so will likely pick up a new GPU. I'm going to probably cap my price at $300ish. I know this won't get me a flagship, not even sure it will get me to 1440 reliably.
 
sboucher said:
Maybe nVidia needs to take a closer look at their pricing model.. As it stands if all most people can afford are mainstream shitty cards that cost the same amount as a console, well, people are just going to buy consoles.
Click to expand...
Not to mention since they are dying in record numbers over priced paper weight.
 
Denpepe said:
Start of the year gamers could not buy cards as they were out of stock or prices were too inflated if they had some due to miners and now due to the silly prices from the manufacturers, they did somehow seem to conveniently forget that the mining boom has faded and most gamers wil not pay these silly amounts.
Click to expand...

This. 100%.

I'm surprised I had to go so far in the topic to find the real reason.
 
steakman1971 said:
I'm in the same boat - my 970 still works fine at 1080. I am building a new system soon so will likely pick up a new GPU. I'm going to probably cap my price at $300ish. I know this won't get me a flagship, not even sure it will get me to 1440 reliably.
Click to expand...
We should sell our 970's while they're still worth a decent amount. If the value goes too low, I'll just give a GPU to a relative, which would be a bit of a waste if they don't game. oh well. It stinks that we have to spend about $200 to get a card that uses less power but no better performance. Of course, more like $300 to get a minor performance increase nowadays. Maybe I'll keep using the 970 & when more new stuff comes out, I'll get 1070 or 1080 when they're under $250.
 
Last edited:
Nenu said:
I think you'll be choking on feathers.
Numerous times in the past, prices have taken a jump for 1 release when it has cost more to manufacture the performance winning card or push new tech, then dropped back.
I expect there to be an inflation related increase and perhaps a little more due to it being more difficult to extract performance, but not close to what we have seen this gen from NVidia.
There are also lessons to be learnt if they want to harvest from easier releases - Nvidia.
But I dont expect this was lost on them at any point.

Each time this happens they get to see how many people are prepared to pay top whack and what top whack is.
Click to expand...

You wanna get in on this bet? Let's do this muchacho!
 
In all honesty...

I have 2 1080 Ti's and running a 2560x1440p 60hz monitor with it. MORE then enough for me. As far as not having Ray Tracing? Not for nothing but I dont need that. My games look amazing as it is, with SLI.

Next few tech purchases for me now, are new mobo/ram/cpu soon and maybe move to a 120hz/144hz 2560x1440p display, that's 27" and DOESN'T break the bank.

Certainly a new mobo/cpu/ram is in my future.. while the i7 4790K was an absolute baller investment.. it's certainly showing it's age.

If you want to sell more GPU's... don't expect your customers to sell there kidney for something that's not worth the trade off for the price and lack luster performance...

$1,500 for 1 card is highway robbery for its current performance.. Then again I bought 2 1080 Ti's for a total of $1,460 back nearly 2yrs ago, but that however has been the smartest move over buying a new CPU/Mobo/Ram to date.
 
start with the prices. mining is down, start dropping those prices, maybe we'll buy again.. remember hardcore cards at 400-600??
 
Bought a 1080 last November just before the whole crypto currency crazy shot the prices through the roof. I'm very happy with my 1080 still and have no plans to jump in on 20 series right now. If it had the generational leap in performance that the 10 series had over the 9 series as well as the same starting msrp then I'd might be interested.
 
Skiddywinks said:
This is me exactly. I'm dying for an excuse to buy a new card. But everything I am willing to pay is, at best, a sidegrade. I was waiting for the 20 series in the hopes we would see the "flagship performance for a reasonable price" that usually comes with a new series. But the value proposition did not change at all.

And so I wait.
Click to expand...

I just upgraded my 1060 gtx 6gb to a 1070gtx Ti 8gb, but only because I got a hell of a black Friday deal ($350 for the Ti!!!). It came with a free copy of Monster Hunter too. I checked an hour after I ordered mine and they were sold out. Otherwise, I would have stuck with my 1060 for awhile longer, not spending $500+ on a 3 year old graphics card.
 
Last edited:
My old laptop is dying and one of these days I'd like to get back into modest gaming (after a LONG absence). However, I'd want a mid-range card, but I won't spend more than $200 for any component. All I could get for <$200 now is a 1050.
 
biggles said:
We are getting diminishing returns in graphics. Games already look great on 9 and 10 series cards by Nvidia. Not worth it at current prices to improve graphics only slightly. Especially if you do not game at 4k.
Click to expand...

This, I think there's a limited pool of enthusiasts and most gamers cant tell the difference between 1080p and 4k. I just dug an P55 system out of storage for my cousin whos PC died. Just gonna throw a spare GTX960 in there that was collecting dust. Thatll play most anything out at low-medium.
 
Well, no shit Sherlock. People aren't stupid. They've priced most of the cards out of people comfort zone. I take comfort in the fact they're losing money.
 
You must log in or register to reply here.
Back
Top