Nvidia: The Majority Still Haven’t Switched To RTX!

TECH NEWS – Well, perhaps that is because the crypto craze caused the prices of the company’s cards to go through the roof when the RTX 3000 series was released!


There’s no shame in admitting it when you have an old config (one of the machines in our editorial team is still running a GTX 770, nearly nine years old), but Nvidia (plus AMD and Intel) don’t like to see it. But we’re not all consumerists. We don’t all rush out to buy something new just because it’s just been released. Speaking at the Bank of America’s Global Technology Conference, Jeff Fisher, Nvidia’s vice president of gaming, mentioned how the GeForce hay is coming along.

Nvidia’s compound annual growth rate in the GeForce segment was 20% in the previous fiscal year. The RTX 4070 and 4070 Ti are making money 40% faster than Ampere (RTX 3000 generation) cards: “I wanted to share a bit about our Ada ramp. As you guys know, we have — we launch our products, our new generations from the top down, starting at the top. And for reasons you’re also aware of, Ada has taken us a little longer to move down the stack than a typical generation. So, for this reason, we’ve got a fair amount of history on the 699 up class of Ada; this is our 40-70 tie and up. And Ada from — in terms of the revenue generated is ramping much faster, 3x that uttering and about 40% faster than Ampere. We’re super pleased with the Ada ramp to date.”

But even at the lower price point, Fisher is pleased: “I shared with you how the 4070 ties are doing relative to prior Gens. And the early results from lower down Ada are also powerful. I’m pleased with the Ada ramp. When I look at mix up or upsell, remember, even in the days of, I’ll call it, product shortages throughout the pandemic and work from home and crypto, as you mentioned, we didn’t change our GPU pricing. I mean, the way I measured upsell was from my core price, now what it ultimately got inflated to in the end market. And what we’ve seen today for Ada in this class 699 and up is a $300 to $400 upgrade in the mix in the high end. So gamers who are buying our high-end of our Ada are buying from a much lower class of product, which is super exciting for us. Ampere, it wasn’t — I’ll speculate, it was in the $200 to $300 upgrade range. And Turing was probably a bit below that, so we’ve seen an increasing mix of upgrades over time.” And what about those who are still on Kepler?

Of those using Nvidia cards, only 44% are using RTX cards, and only 18% can outperform the RTX 3060, so Fisher says there’s a significant growth opportunity in this area. That’s why they announced the RTX 4060, which will be $300 (cheaper than the RTX 3060, which was released for $330). High-end users, such as those with RTX 4090, will switch faster, every 1.5-2 years, so their upgrade cycle is shorter than mainstream users (3-3.5 years so that they can change from a GTX 1060 or RTX 2060 to RTX 4060 in many cases).

3-3.5 years? So what would our nine-year cycle be…?

Source: WCCFTech

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Anikó, our news editor and communication manager, is more interested in the business side of the gaming industry. She worked at banks, and she has a vast knowledge of business life. Still, she likes puzzle and story-oriented games, like Sherlock Holmes: Crimes & Punishments, which is her favourite title. She also played The Sims 3, but after accidentally killing a whole sim family, swore not to play it again. (For our office address, email and phone number check out our IMPRESSUM)

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