Rid your mind of Kent - Mike Magee
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Nvidia posts disappointing results
IT SEEMS THAT Nvidia is slowly sliding into a sea of doom and does not seem to have packed its swimsuit.
The Green Goblin posted a worse-than-expected loss of $141 million for its second fiscal quarter. Of course it says that it is not its fault, it blames weakening conditions in the overall PC market, although we have to point out that few other companies have noticed.
Revenue for the three months ended August 1 was $811.2 million, up 4.5 per cent from $776.5 million a year earlier. But the Green Goblin had to earn a lot more cash than that to make up for expenses. This quarterly loss follows a smaller loss of $105.3 million a year earlier.
The poor showing comes after a couple of better quarters, when strong sales of PCs related to the launch of Windows 7 helped Nvidia.
Nvidia CEO Jen-Hsun Huang claimed that a weakening recovery threatens healthy growth in the PC market.
Of course the fact Nvidia was late launching its Fermi-based graphics chips last year has nothing to do with it. The delay has had a knock on effect throughout Nvidia's finances.
The company blamed lower consumer demand, increased memory costs, and economic weakness in Europe and China.
Of course the fact that it had to write a cheque for $193.9 million related to a pending settlement of a class-action suit over faulty graphics chips due to weak packaging materials didn't help either.
That Nvidia's chief rival AMD had great results also suggests that things aren't going well for the Green Goblin.
AMD also seems to be capturing market share, which Nvidia can't like. AMD now has 51 per cent of the stand-alone graphics chip market, compared to 49 per cent for Nvidia. A year ago, Nvidia had 59 percent and AMD had 41 percent. µ
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Craig's List? There's a reason why it's free... Nobody trusts nVidia any more. Too many years of computers overheating, and dead motherboards, and problems nobody can fix. ATI has been trustworthy for almost a decade, and continues to put out quality time after time.
I recently sold all my 2nd and 3rd generation cards on Craigslist. I had four ATI cards, the3870-x2 and the 4870's andabout 10 nvidia cards. The only ATI cards I've been able to sell were the two 3870-x2s which I gave away almost. Still got the 4870's. In the meantime, I've unloaded a 9800gtx,8800gts8800gtx-3,280gtx-3,260gtx-2 with only a 7900gtx and a 8800gts still in tow. PPL trust Nvidia, they don't trust ATI
@Pascal Monett
If Nvidia fails, the competition will go on. Their expertise will be gobbled up by Intel, and the graphics wars will continue on-die.
And I'd love to see Nokia gobble up the Tegra design team.
Nvidia screwed itself with the entire family of bad chips they made a year or two back. People are simply hesitant.
I know in the last several months I have had 3 different Nvidia cards die on me, one wasn't even a year old. Replaced them all with ATI based cards this time around.
People remember things like this, emerging patterns, having to deal with bad equipment. Especially people like myself who do nothing except work on computers.
I have a record of buying Nvidia graphics. Started with the TNT 2 in '99, stayed with Nvidia right up to the 260GTX (which is still working fine). 9 out of the 15 graphics cards I have ever bought are Nvidia, 2 are ATI.
I have never had any problem with Nvidia hardware, but that is not to say that I appreciate their marketing tactics or the FUD they spread against ATI/AMD (which is usually reciprocated with the standard marketing gusto).
I must say I will not feel sorry for Nvidia if they do tank. I will feel sorry for the market, because in the past 15 years we have had incredible advances in graphics thanks to the ATI/Nvidia war, and if Nvidia goes down, well, it can't be good for innovation.
Huang seems to be running Nvidia into the ground, which is arguably where they belong. Dodgy chips and dodgy business practices turned me sour to Nvidia products. How many are there out there that say the same thing?