14 DAY TRIAL // Nvidia has a big image problem right now because its chipsets are being used in crypto mining and they would like to convince companies that build video cards to sell them to gamers.
At first glance, the idea that Nvidia is selling more chipsets than it can produce might sound like a good one. In theory, the company is doing great and making a lot of money, so what could they possibly want more? The answer is, of course, good PR.
Nvidia is a victim of its own success. Its chipsets are really good at mining cryptocurrency, and people that are involved in this activity have bought pretty much all of the high-end video cards on the market. This, in turn, has hiked up the prices some record levels.
The problem with selling all of your stock of video cards to crypto miners is that regular people that usually buy your stuff won’t be able to get them. So, when the current cryptocurrency bubble bursts, and it will, Nvidia will be left with a lot of fans that are disappointed by the company and that maybe bought what they needed from somewhere else.
Nvidia is putting some mild pressure on trade partners
The only good thing for Nvidia right now is that AMD is going through a similar problem, although it’s not as bad. People can’t switch from Nvidia to AMD easily, and this is the main reason why the impact hasn’t been all that great.
According to a statement made to ComputerBase by Nvidia’s spokesman Boris Böhles, Nvidia is talking to their trade partners to try to limit the sales. Some retailers are already limiting the online sales to only two cards, but no one stops you from creating another account and ordering two more.
The price hike has been substantial, with Nvidia GTX 1080 Ti selling for $1300 and more in some cases. That’s more than double, but this is how a free market works. The prices would return to normal is there was enough stock, but that’s not happening anytime soon.