Nvidia Says GPU Sales for Crypto Mining Have Dried Up
If you had tried to buy a new video card a year ago, you would have been in for a very, very bad time. The explosion of interest in cryptocurrency pushed prices sky-high, leaving almost no cards for people who just wanted to play some games. Prices have mostly returned to normal in the last few months, and now Nvidia has confirmed what we all suspected in its recent earnings call. GPU sales for cryptocurrency mining are dropping like a rock.
The price boom of 2017 through early 2018 brought a lot of new miners into the market, and they all needed hardware to generate new coins. Thus, the law of supply and demand took over to wreck GPU prices. You were lucky to see cards selling for less than double MSRP. Now, Nvidia says revenue from selling to crypto miners has dropped substantially to just $18 million. In the first quarter of the year, Nvidia reported $289 million in revenue from “crypto-specific GPUs.”
The company doesn’t foresee another major uptick in mining, either. It projects sales to cryptocurrency miners will remain “negligible” going forward. Nvidia has adjusted its plans to compensate for that, too. It expected crypto would remain a large part of its sales before the bottom dropped out of the market. It had projected about $100 million in crypto-related revenue for the quarter.
Nvidia CEO Jensen Huang noted during the Nvidia earnings call that it first spotted the uptick in GPU sales in the third quarter of 2017. That’s when Bitcoin prices were solidly over $10,000, dragging newer cryptocurrencies along with it. Bitcoin peaked at over $20,000 before dropping back down — it’s currently worth a little over $6,000.
If you’re not looking to mine some fancy new virtual coin, this is good news. GPU prices are likely to stick at or below MSRP for gamers.
Continue reading
Salon Asks Users to Mine Cryptocurrency in Exchange for Ad-Free Site
News website Salon has been nagging visitors about ad blockers for a while, but now it's giving some people an alternative. Simply opt into the new "Suppress Ads" feature and browse ad-free. The catch: your device's CPU will be harnessed to mine cryptocurrency.
Global Sales of Smartphones Have Fallen for the First Time Ever
Smartphone sales dropped in Q4 2017 for the first time in nearly 14 years. Is this a momentary blip or a sign that the market has hit saturation?
Tesla to Hit 200,000 Sales This Year, Could Limit Model 3 Tax Credits
The more Model 3s delivered this year, the more people get the full $7,500 tax credit. Will it be 50,000 Model 3 buyers,100,000, 150,000, or more?
2018 Nissan Armada Review: Big, Thirsty, and Sales Are Through the Roof
Even by large SUV standards, the Nissan Armada casts a giant footprint. A 2017 redesign that carries over virtually unchanged for 2018 more than doubled the big guy’s sales. If you’re doing a lot of carpooling, towing a boat, or taking long trips — kids in travel sports, for instance — it’s not a bad…