News Nvidia's $249 RTX 3050 Sold Out Instantly In Japan For $400

VforV

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So just over a 60% markup. OUCH.
It's not even the whole OUCH we will see on launch day... not to mention a month or two after that.

Who ever was complaining that RX 6500 XT was too expensive for $200 MSRP while having only 4GB Vram has no idea or complained intentionally for the sake of it how much worse RTX 3050 will be, because with it's 8GB Vram is perfectly made for miners, so expect the actual price to be double $500, at least.

Out of these 2 expensive duds one will have a lower price and not be interesting to miners, the other one exactly the opposite. So nvidia "we care about gamers" do you really? Pffft.
 

InvalidError

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Who ever was complaining that RX 6500 XT was too expensive for $200 MSRP while having only 4GB Vram has no idea or complained intentionally for the sake of it how much worse RTX 3050 will be, because with it's 8GB Vram is perfectly made for miners, so expect the actual price to be double $500, at least.
Unlike the RX6500 which is barely faster than an RX580 and comes with crippled features, the RTX3050 will be much faster and all of the usual 3000-series features. Crypto-mining wise, its hash rate will be hamstrung from having only a 128bits-wide bus, so it may not be particularly good.

If Nvidia wanted to make a great value crypto-mining GPU, it would have put 6GB of VRAM on a 192bits bus instead for 50% more memory bandwidth and access concurrency.
 

VforV

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Unlike the RX6500 which is barely faster than an RX580 and comes with crippled features, the RTX3050 will be much faster and all of the usual 3000-series features. Crypto-mining wise, its hash rate will be hamstrung from having only a 128bits-wide bus, so it may not be particularly good.

If Nvidia wanted to make a great value crypto-mining GPU, it would have put 6GB of VRAM on a 192bits bus instead for 50% more memory bandwidth and access concurrency.
Yet despite that, they will be gone in an instant at double the price, thanks to miners and a few gamers that are in the right spot and the right time and are willing to pay what this GPU is not worth because - "nvidia".

If you think the majority that pays double the price are not miners you are naive.

Also let's see which of these 2 will hold closer to MSRP at launch, hm? How about after 1 month?
 

renz496

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It's not even the whole OUCH we will see on launch day... not to mention a month or two after that.

[b}Who ever was complaining that RX 6500 XT was too expensive for $200 MSRP while having only 4GB Vram has no idea or complained intentionally for the sake of it how much worse RTX 3050 will be[/b], because with it's 8GB Vram is perfectly made for miners, so expect the actual price to be double $500, at least.

Out of these 2 expensive duds one will have a lower price and not be interesting to miners, the other one exactly the opposite. So nvidia "we care about gamers" do you really? Pffft.
regardless of price vs 3050 the 6500XT have no reason to exist. just a pure cash grab to prey on desperate gamer that in need of GPU. rather than making 6500XT it is better to just increase the production of the original RX5500XT 4GB. smaller die size than the original navi 14, using cheaper 64 bit PCB limited to x4, have no decoder/encoder that other wise exist in this price range of GPU for a half decade, and the way i heard about it TSMC 6nm is one of the cheaper version of 7nm process. this GPU was specifically made to increase the profit margin of $200 GPU.
 

San Pedro

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I live in Japan, and prices are always inflated here compared to the states for GPUs and CPUs especially. 50,000 yen is still pretty damn high for what it is. I bought a 5700xt like 2 years ago for that same price.

Also, Amazon Japan definitely does not have good prices here on GPUs, actually they're usually worse than PC shops, so it's possible it might be cheaper... Maybe I'll check sometime this week if I head to PC store, but not really interested in 3050s.
 
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VforV

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regardless of price vs 3050 the 6500XT have no reason to exist. just a pure cash grab to prey on desperate gamer that in need of GPU. rather than making 6500XT it is better to just increase the production of the original RX5500XT 4GB. smaller die size than the original navi 14, using cheaper 64 bit PCB limited to x4, have no decoder/encoder that other wise exist in this price range of GPU for a half decade, and the way i heard about it TSMC 6nm is one of the cheaper version of 7nm process. this GPU was specifically made to increase the profit margin of $200 GPU.
Firstly, I don't like both of these duds, the 6500 XT, nor the 3050, so let's be clear on that. All I'm saying is that the AMD one has a much higher change to get to gamers than the nvidia one and at a lower price. That does not mean is a great product or a good deal, it's a lesser evil case...

Now, the reason they don't make more 5500 XT and instead opt for a 6nm similar GPU 6500 XT is because of that 6nm and because the 5500 XT would cannibalize from the 7nm production that is already not up to the demand.

As for the exact profit and profit margin AMD will make on these GPUs funny, MLiD just posted this video yesterday on exactly this subject and you will be surprised how little that profit actually is... This lowest tier of GPUs is the least profitable one and this is the reason it's dying, if it were that profitable it would not be such a pathetic case from both nvidia and AMD.

Watch and see those BOM and "amazing" profit margin numbers:
View: https://www.youtube.com/watch?v=qm_yHEr-d6U
 

InvalidError

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Now, the reason they don't make more 5500 XT and instead opt for a 6nm similar GPU 6500 XT is because of that 6nm and because the 5500 XT would cannibalize from the 7nm production that is already not up to the demand.
TSMC's N6 is just N7(P) with up to five of EUV (up from four in N7P) for the most density-critical parts, which means it still uses a lot of the same equipment as N7 for ~10 power and interconnect layers and the same equipment needed for N5 for the active layers. It isn't fab capacity that exists separately from everything else, it is a transition process to balance volume against EUV/N5 equipment scarcity.
 

renz496

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Now, the reason they don't make more 5500 XT and instead opt for a 6nm similar GPU 6500 XT is because of that 6nm and because the 5500 XT would cannibalize from the 7nm production that is already not up to the demand.
the 6nm is still part of 7nm process. just like 12nm is enhance 16nm. AMD can just make 6nm on 5500XT just like what they did when they use 12nm on updated polaris that end up being use in RX590.

As for the exact profit and profit margin AMD will make on these GPUs funny, MLiD just posted this video yesterday on exactly this subject and you will be surprised how little that profit actually is...
that is a well known fact for years that the sub $300 market did not generate much profit. but AMD most likely already get their margin when selling the GPU kit to AIB. the one that usually have to live with paper thin margin was AIB. but the cutting down on RX6500XT is way too much. maybe AMD was thinking of leaving the sub $300 market.
 

InvalidError

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the cutting down on RX6500XT is way too much. maybe AMD was thinking of leaving the sub $300 market.
With sub-$300 GPUs accounting for most of the top-10 and about half of the GPUs overall on Steam's survey, abandoning the sub-$300 market might hurt PC gaming pretty bad in the long run and force game developers to target IGPs if they don't want to cut half of their potential player base off.
 

VforV

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Unless intel with Arc changes their mind, I think both nvidia and AMD plan to leave the sub $300 GPU market in the coming years...
 
It's important to note that the MSRP or equivalent in Japan tends to be much higher than in the US.

For example, this is the MSRP for the 3070 series from the Japanese and US websites.


You can see the Japanese page at https://www.nvidia.com/ja-jp/geforce/graphics-cards/30-series/rtx-3070-3070ti/

Given the current exchange rates, this is about $800 USD for the 3070 Ti and $700 USD for the 3070. And this isn't a one time thing either:
EDIT: Here's the 3050's Japanese page: https://www.nvidia.com/ja-jp/geforce/graphics-cards/30-series/rtx-3050/

The MSRP or equivalent is ¥ 39,800, which is about $350 USD at today's rates. So given the AIB markup, $400 seems to be on the mark.
 

renz496

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With sub-$300 GPUs accounting for most of the top-10 and about half of the GPUs overall on Steam's survey, abandoning the sub-$300 market might hurt PC gaming pretty bad in the long run and force game developers to target IGPs if they don't want to cut half of their potential player base off.
What i mean is AMD might leave that segment to both nvidia and intel to dug it out. They will save themselves from the trouble to compete in area where margin can be extremely thin. And i think we even seeing the glimpse of this on cpu market although AMD play it a bit different there.
 

InvalidError

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What i mean is AMD might leave that segment to both nvidia and intel to dug it out. They will save themselves from the trouble to compete in area where margin can be extremely thin.
According to a BoM leak posted on Broken Silicon, the manufacturing cost of an RX6500 is about $130, which leaves about 50% gross profit margin to split from AMD to store shelves. Not exactly that bad.

The only reason this mess is able to exist is the combination of endless demand from crypto-mining which may end with ETH PoS this year, on-going shortages that started before covid which prompted the construction of 10+ new fabs due to enter production in 2022-24 and all of the disruption that happened since. With some luck, we'll see the end of shortages-driven pricing about a year from now.
 

renz496

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According to a BoM leak posted on Broken Silicon, the manufacturing cost of an RX6500 is about $130, which leaves about 50% gross profit margin to split from AMD to store shelves. Not exactly that bad.

The only reason this mess is able to exist is the combination of endless demand from crypto-mining which may end with ETH PoS this year, on-going shortages that started before covid which prompted the construction of 10+ new fabs due to enter production in 2022-24 and all of the disruption that happened since. With some luck, we'll see the end of shortages-driven pricing about a year from now.
that is for RX6500XT. but sub $300 have always been where the margin can be very low. RX 5600XT for example is almost impossible to build within MSRP price according to Sapphire. and Steve from GN said that for quite sometime partner have been asking nvidia to set higher minimum price for what being considered as the mid range cards. hence probably why 2060 starts at $350 not the usual $250 (or lower) that we usually see on x60 part. and then he said some partners try to play around with things like MIR so they can hit those MSRP price. they did that because from the statistics normally only around 30% of actual consumer that really claim those MIR.
 

logainofhades

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Maybe AMD should have pulled an Nvidia, and brought back a card from an older process node? There are less demand for those older nodes, making it easier to bring out more cards, that might actually end up on the hands of gamers. Bringing back the 2060 was a good move, though adding 12gb ram to it was dumb. In this market, I am sure gamers would be happy to get their hands on an RX 580, even if it were a 4gb model, to make it unattractive to miners. AMD's making the 6500xt, with only 4gb, wasn't a terrible idea, for an anti mining measure, but the x4 bus speed was dumb. At least, I guess, they didn't pull an Nvidia, an add another model, on the same high end die, that is already hard for people to get.
 
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InvalidError

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At least, I guess, they didn't pull an Nvidia, an add another model, on the same high end die, that is already hard for people to get.
The RTX3050 is allegedly going to hit the distribution channel in large numbers. If true, then supply of the dies themselves is not a major issue. What the DDR5 shortage tells us is that it is supply of VRM/PMIC components that the supply chain is getting hung up on.
 

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