Coupled with the incoming holidays, AIB's are likely to keep prices down and volume high.
Ya but if you look at the BIG picture, it's the complete opposite of what you are saying - GPU prices are going up and unit volumes are going down from 5 years ago, and it's getting worse. I am not surprised though because so many console to PC ports are unoptimized turds and the rest of well optimized PC games can be played well on older GPUs. With lower unit sales, NV and AMD jacked up the prices on GPUs and split the generation into parts - aka milking us in the end.
What NV doesn't want anyone to know is how dGPU unit sales are bombing, kinda like MS doesn't want to discuss XB1 unit sales anymore. That's actually bad, very bad for us consumers since it means even more likely that NV will finally cement the bifurcating a generation strategy they first started with Kepler and since AMD cannot compete financially, they will do the same. In the end, these firms are just laughing at us while feeding us $500-550 mid-range chips and holding back the real $650 flagships. What's happening in the current dGPU market segment is just horrible. We went from $250 GTX560Ti to a $500 GTX680/$550 GTX980 and now AMD cannot even compete on price/performance since they cannot afford to. What have we ended up with as a result? The most overpriced GPUs and the slowest trickle down of technology EVER. GTX960 is easily the worst x60 series card ever made. On the AMD side, we have mostly refreshes since they had no money to design new 28nm products top-to-bottom.
When you say "keeping prices down and volume high", it's not at all what's happening. $450 GTX980 was a $250 GTX560Ti, while 980Ti $650 is a cut-down flagship aka $350 GTX570. That means what's happening is NV is keeping prices HIGH and volumes keep falling. AMD is financially strapped that they aren't even competing on market share or price/performance with Fiji products. In the end, PC gamers got the short end of the stick. If it wasn't for dGPU demand out of China and some emerging markets in Brazil and Russia, dGPU sales would have tanked even harder. MOBA, World of Tanks, Starcraft 2 expansions and some other key games are keeping the dGPU segment in some demand in China/Brazil/Russia. What happens moving forward? I hope things improve for our wallet's sake.
Sounds like we, the consumers, are stuck between a rock and a hard place. Instead of just looking at NV vs. AMD, I am looking at the big picture and it's looking awful.
Also, 2015 had some of
the most anticipated games across the entire PC gaming community:
- GTA V
- MGS: V
- Batman AK
- Fallout 4
- The Witcher 3
- Starcraft 2: Legacy of the Void
- Star Wars: Battlefront
There were some other big games, such as Homeworld Remastered, Kerbal Space Program, Pillars of Eternity, Dying Light, Ori and the Blind Forest, Heroes of the Storm, Project CARS, Total War: Attila, Assassin's Creed Syndicate, Evolve, Arma 3: Marksmen DLC, Grey Goo RTS, and on top of that some early access titles like ARK Survival, Killing Floor 2, and of course Star Citizen. YET, despite ALL of these games, this is thus far
THE WORST year for discrete GPU unit sales when looking at Q1+Q2+Q3 2015 vs. the last 5 years of GPU sales.
This is alarming because we went from 40 million to > 125 million Steam members in the last 3-4 years and yet discrete GPU unit sales are absolutely bombing, worst period in dGPU graphics in a decade probably if we extended that graph to 2005.
Again Raja said that there will be only 2 brand new GPU next year. It means that whole whole AMD GPU line will be same as this year but they will only include 2 new GPUS where as Nvidia will launch pascal from top to bottom.
That could mean a lot of things. Let's go back to 2012. "Only" 2 GPUs could generate:
HD7990
HD7970Ghz
HD7970
HD7950 V2
HD7950
&
HD7870XT
HD7870
HD7850
That's just the desktop. On top of that they have Fury, Nano and Fury X that they can shrink. They have a lot of options. What matters is their execution and pricing. NV's current generation below GTX970 has been extremely weak, but their marketing and design win execution is what allowed them to win in that market segment.
If AMD's "only 2" new GPUs are extremely competitive as HD7950 and HD7970 were, and if AMD can shrink some of their existing products (i.e., the Nano shrunk could be a great laptop GPU), then AMD may have a good line-up of cards.
If AMD cannot deliver a competitive GPU architecture in 2016 and gain share in 2016 there is no hope for them in the discrete GPU business. AMD needs to do the same in 2017 in CPUs/APUs. Otherwise they will not survive. This hammering which AMD is getting from Intel/Nvidia cannot go on for long. rip AMD.
Do you buy graphics cards based on their market share or what the card is? If AMD had 50% market share, would that make Fury X or 390 a better videocard? If NV had 18.8% market share, would it make 970/980Ti bad products?
As long as AMD aims to achieve profitability, it's better to have 5% market share with positive cash flow than to have 95% market share with negative cash flow. I am not suggesting that AMD is about to start making millions of dollars off their graphics cards but your point that AMD might die in 2017 is premature. You are not taking into account any positive net cash flow that will start coming in from Nintendo's NX, some other unannounced design wins and Zen. It's also not easy to turn the momentum of OEMs when most of the laptop design wins have been spoken for all of 2015 and AMD has no competitive products in laptops. That means the only major segments where AMD can somewhat regain market share are desktop dGPUs. That's less than 50% of the entire dGPU market segment and it's only been
1 quarter.
... Just sell off the GPU division already. I give up. Who's ready for $1500 midrange GPUs and a monthly subscription to get drivers from Nvidia? I'd say that I'm going to switch to consoles, but I have no idea what's going to happen to them when AMD dies in 2017... I guess this is the end of gaming rope for me..
Why are you so pessimistic? The only card from NV that's head and shoulders better than anything AMD has is the 980Ti. The rest of NV's line-up is completely unremarkable against AMD's current offerings. The reason AMD is bombing so much is mostly to do with NV's execution, marketing and OEM relationships because AMD basically forfeited the notebook dGPU market for the last 4 years. However, as far as actual technical performance and price/performance is concerned, AMD's current line-up from $100-$500 segments is extremely strong.
http://www.techpowerup.com/reviews/MSI/GTX_980_Ti_Lightning/23.html
Will Pascal destroy Arctic Islands? Possibly but what we can say with 100% certainty, that if AMD produces the world's best graphics card in 20 years but their execution is crap, it won't matter. AMD needs to focus on launching sooner, more game bundles, more AMD GE games. And honestly, even if we went back to the epic era of ATI vs. NV when ATI was wiping the floor with NV, if NV used the GW's tactics back then, ATI wouldn't have stood a chance. If you take the overall picture into account, it's pretty hard to envision how AMD can possible get back to 50/50% market share since they don't have the $ to Pay to Win with game developers.
Within 2 generations Intel's Iris will be powerful enough to compete with NV's "budget" tiers, so it'll be potent enough to give them at least some competition.
Intel is going to need Kaby-lake just to catch up to a 750Ti. After that it's going to take them probably 2 more generations just to catch up to an R9 280X/960. Now we are looking at 2018 when NV will have Volta and a $150 GPU will be as powerful as a GTX980. Intel itself will no be competition to AMD/NV. It's actually far worse than that. If PC games stagnate and Intel's GPUs keep getting better, less and less PC gamers will even need a dGPU products. It's not even a matter of AMD/NV competing as they simply won't be able to. Luckily for AMD/NV, there is VR and 4K gaming and possibly next gen PS5/XB2 consoles in 2019. If any one of these things takes off, AMD/NV will be able to sell $200-700 graphics cards due to increased demand.