Nvidia takes back almost 9% market share in Q2 from AMD in notebook discrete GPUs

[iCyborg]

Yes, the revenue was smaller due to seasonality and compared to last year because of Fermi delay which left AMD unchallenged + 28nm investments. I'm not saying the numbers would be the same, I'm saying that 33 -> (7) looks worse than it should be due to the reasons I gave above. In Q2 '10 AMD sold 0 GPUs as part of APUs. Millions of GPUs were sold as part of Fusion in Q2 '11, but this contributed 0 revenue to the GPU segment. R&D effort involved in Fusion on the part of graphics however *was* charged against GPU segment.

 

[SirPauly]

Understand what you're saying but I just don't recall anyone offering misleading when the GPU division was making a profit in the latest quarters. Now, when someone offers a loss, it is misleading.

There are also breakdowns with nVidia as well. Even though Tegra has a GPU, well, it's counted as Consumer Products Business, or Tesla and Quadro as Professional Solutions Business --- separate from the GPU Business.

 

[iCyborg]

Well, they didn't lose money before, and it was less of a factor . I believe T. Seifert acknowledged this as well in some conference call...

As for nVidia, it's all GPU, you can also break down AMD's graphics division like that. If all Tegra revenue was reported under manufacturer only, like Samsung, then you might want to mention that if you're using the numbers to illustrate a point.

 

[Red Storm]

Tegra doesn't really compare to Fusion APUs in this particular case. One eats into the discrete PC video card market, the other is in an entirely different market.

 

[SirPauly]

Sure, they do! And eventually the innovation of both companies will compete with each other much more. AMD desires to eventually be in more tablets and smartphones and nVidia desires to move their SOC's and Denver into more platforms. Wouldn't be surprised to see SOC designs from AMD.

 

[SirPauly]

Well, they didn't lose money before, and it was less of a factor . I believe T. Seifert acknowledged this as well in some conference call...

As for nVidia, it's all GPU, you can also break down AMD's graphics division like that. If all Tegra revenue was reported under manufacturer only, like Samsung, then you might want to mention that if you're using the numbers to illustrate a point.

The part that was surprising was the dramatic shift in mobile discrete share. The quarter before, Mr Seifert heralded AMD's mobile discrete leadership.

 

[notty22]

Another successful quarter was announced.

http://www.businessweek.com/news/20...it-top-estimates-on-graphics-chip-demand.html
Sales in the period that ended Oct. 30 rose 26 percent to $1.07 billion, the Santa Clara, California-based company said in a statement today. That compared with the average analyst estimate for $1.06 billion in revenue, according to Bloomberg data. Excluding certain costs, profit was 35 cents a share, topping projections of 31 cents.
Nvidia has been winning market share in sales of graphics processors for desktop PCs from Advanced Micro Devices Inc., according to Patrick Wang, an analyst at Evercore Partners Inc. The company is also getting its chips into high-end computer workstations used for applications such as industrial design.
“Workstation was a good business for them last quarter,” said Wang, who is based in New York. He has an underweight rating on Nvidia stock because he’s concerned that the company will struggle to deliver on plans to expand into mobile phones.
The stock rose as high as $15.45 in extended trading following the announcement. It had earlier increased 1.1 percent to $14.47 at the close in New York. The shares have gained 6 percent so far this year.
Net Income
Net income in the third quarter rose to $178.3 million, or 29 cents a share, from $84.9 million, or 15 cents, a year earlier.
Revenue in the current period will be little changed from the prior three months, Nvidia said. Analysts on average had projected sales of $1.07 billion, according to Bloomberg data.
Fourth-quarter gross margin, or the percentage of sales left after subtracting production costs, also will be little changed from the third quarter’s 52.2 percent, Nvidia said.

Nvidia 3Q Profit Surges On Demand From Gaming, Pro


Markets

 

[badb0y]

Nice! Where my GTX 680 at?

 

[tviceman]

Also from the article:

“Our mobile business benefited from new devices coming onto the market,” Huang said in the statement. “With Tegra 3 phone wins well ahead of Tegra 2’s pace, we’re expecting strong growth in the year ahead.”

If true, Tegra3 is going to speed up Nvidia's pace to penetrate the mobile market from top to bottom. They need a big design win though - getting into a future Amazon Tablet would be huge for Nvidia.

 

[exar333]

Nvidia is riding the Intel money train with Optimus Technology.

This. There is no better combination for CPU/GPU power with good battery life. And before someone says it, no Llano is not 'fast'.

 

[exar333]

Also from the article:



If true, Tegra3 is going to speed up Nvidia's pace to penetrate the mobile market from top to bottom. They need a big design win though - getting into a future Amazon Tablet would be huge for Nvidia.

Nvidia has been VERY aggressive with their time-to-market for their Tegra line-up, and it is arguably paying-off. They may be a little power-hungry, but they are fast and very capable in graphics too. There are trade-offs, for sure, but a lot of people buy on specs and not battery life.

 

[RampantAndroid]

Thats where tegra 4 / windows 8 comes into play...................

This.

 

[nsavop]

Nvidia has completely dominated the high end notebook gpu market this year, they have released the 560m, 570m, and 580m with optimus with AMD only answering with the 6990m. Newegg has dozens of notebooks with nvidia's 500 series with no competition from AMD.

 

[RussianSensation]

Nvidia has completely dominated the high end notebook gpu market this year, they have released the 560m, 570m, and 580m with optimus with AMD only answering with the 6990m. Newegg has dozens of notebooks with nvidia's 500 series with no competition from AMD.

How do you know that specifically NV dominated in market share for 560/570/580 mobile lines? AMD actually has the larger market share in the notebook space.

HD6990M is barely slower than the 580m despite until recently costing $300+ less. Where NV has dominated AMD is actually the desktop discrete space, where last time I checked they had around a 59% market share.

Optimus is a good competitive advantage though.

2012 is shaping up to be a great year for them, with likely more design wins for Tegra 3 and an all new Kepler GPU.

 

[nsavop]

How do you know that specifically NV dominated in market share for 560/570/580 mobile lines? AMD actually has the larger market share in the notebook space.

HD6990M is barely slower than the 580m despite until recently costing $300+ less. Where NV has dominated AMD is actually the desktop discrete space, where last time I checked they had around a 59% market share.

Optimus is a good competitive advantage though.

2012 is shaping up to be a great year for them, with likely more design wins for Tegra 3 and an all new Kepler GPU.

Poor choice of words on my part, what I was trying to say was nvidia refreshed their mid to high end mobile line of gpus this year while AMD hasn't really done anything to compete other then the 6990M. Like I said newegg has dozens of 500 series notebook sku's while AMD I believe has 2 notebooks with the 5870m which is going on 2 years old now and a 6990m which is only available through custom notebook resellers. When theres someone like me looking to spend $1300 on a performace notebook im left with many choices from nvidia and none from AMD.

 

[RussianSensation]

Poor choice of words on my part, what I was trying to say was nvidia refreshed their mid to high end mobile line of gpus this year while AMD hasn't really done anything to compete other then the 6990M. Like I said newegg has dozens of 500 series notebook sku's while AMD I believe has 2 notebooks with the 5870m which is going on 2 years old now and a 6990m which is only available through custom notebook resellers. When theres someone like me looking to spend $1300 on a performace notebook im left with many choices from nvidia and none from AMD.

Ya, you are right on that point. In terms of having a wider selection at more mainstream retail/online channels such as BestBuy or Newegg, NV has a wider variety of offerings.

I remember the HD5870M might only have been available in an MSI or Asus laptops on Newegg.

 

[happy medium]

ah, thanks for the news but I must say , I believe we all knew this was gonna happen.


Very soon game set match is comming.

Nvidia profit ,quarter after quarter ect ect ect ect

Intel mopping the floor with them..............

next is change business strategy to build confidence with investors= fail

after this will be someone helping a long term sinking ship.

The real question is ........who is the company thats gonna save them?

 

[Gikaseixas]

you must be refering to AMD and it's lost cause correct? You seem very happy for the way things are going for them recently. It just shows how relevant they still are in todays market and just shows how unconfortable you're with that reality.

 

[AtenRa]

NVIDIA's CEO Discusses Q3 2012 Results - Earnings Call Transcript

 

[Dribble]

Doing well in their traditional markets.

At the forefront of important new and emerging markets.

The JHH hate may be strong around here, but the guy knows what he's doing.

 

[GaiaHunter]

These cards are still based on 40nm.. I thought TSMC fixed the yield problems long time back. IMO, this low availability just does not make sense.

Also, 570 and 580 are not exactly small dies either. 398 mm^2 Vs 529 mm^2.. so die size argument seems a bit silly.

Bobcat.

Bobcat is a 40nm chip produced at TSMC.

It is getting depressing that every time one of these threads appear, people seem to forget APUs are included on AMD CPU division despite using GPU division resources, that CPU+GPU chips eat on the number of discrete GPUs, that AMD produces both its 40 nm GPUs and 40nm Bobcat fusion products at TSMC.

When people remember this it isn't hard to figure that AMD GPU division makes less money now since it takes on costs for APU but no revenues, that AMD own APUs compete with AMD lower end GPUs, that AMD GPU division has its production shared with Bobcat APUs, which mean less GPU products to sell.

 

[SirPauly]

Bobcat.

Bobcat is a 40nm chip produced at TSMC.

It is getting depressing that every time one of these threads appear, people seem to forget APUs are included on AMD CPU division despite using GPU division resources, that CPU+GPU chips eat on the number of discrete GPUs, that AMD produces both its 40 nm GPUs and 40nm Bobcat fusion products at TSMC.

When people remember this it isn't hard to figure that AMD GPU division makes less money now since it takes on costs for APU but no revenues, that AMD own APUs compete with AMD lower end GPUs, that AMD GPU division has its production shared with Bobcat APUs, which mean less GPU products to sell.

There are a few offering this now, is there a link or data point one can share for this break down?

 

[SirPauly]

NVIDIA's CEO Discusses Q3 2012 Results - Earnings Call Transcript

Thanks!

 

[sontin]

Bobcat.

Bobcat is a 40nm chip produced at TSMC.

It is getting depressing that every time one of these threads appear, people seem to forget APUs are included on AMD CPU division despite using GPU division resources, that CPU+GPU chips eat on the number of discrete GPUs, that AMD produces both its 40 nm GPUs and 40nm Bobcat fusion products at TSMC.

When people remember this it isn't hard to figure that AMD GPU division makes less money now since it takes on costs for APU but no revenues, that AMD own APUs compete with AMD lower end GPUs, that AMD GPU division has its production shared with Bobcat APUs, which mean less GPU products to sell.

AMD's integrated revenue stream is added to the consumer business since they accuired ATi. Why would they change this now?

nVidia is not even counting the royalities from Sony and revenue from Tegra under their Geforce business. And both using Geforce-IP.

 

[GaiaHunter]

AMD's integrated revenue stream is added to the consumer business since they accuired ATi. Why would they change this now?

nVidia is not even counting the royalities from Sony and revenue from Tegra under their Geforce business. And both using Geforce-IP.

Fusion GPUs are quite more powerful than IGPs from before - actually they are quite close to low end discrete GPUs.

So what happens is that the low-end GPU sales diminish (as it this report seems to indicate) since a percentage of those low-end GPUs are being replaced by APUs, affecting both NVIDIA and AMD low-end GPU sales, but I'm not seeing AMD previously selling machines to OEMs with an AMD CPU+NVIDIA GPU, which can explain why AMD is more affected than NVIDIA, on the discrete market share.

Secondly, Bobcat steals wafer allocation from AMD GPUs, meaning less discrete AMD GPUs to sell - if they would sell or not I can't answer, but considering people are saying there aren't many AMD GPUs in stock, probably the current supply isn't satisfactory.