It was about whether Big Navi would be a "paper launch" or not. Which is basically up to your interpretation of what constitutes a paper launch. Obviously the cards all sold out, and that was always going to happen I think. What I really want to know is how many cards were even shipped prior to the launch. Considering some retail outlets said they got ZERO 6800 series cards, that's pretty damning.
As I've said elsewhere, though, which would you do as AMD?
- Make 13 Zen 3 compute die, which could go into either six Ryzen 9 chips and one Ryzen 5/7 chip (sales = $3600 minimum, $5200 maximum)
- Make 2 Navi 21 chips (sales = $1160 minimum, $1300 maximum)
Now consider that for the graphics cards, probably $600 goes to other components (memory, PCB, VRM, etc.) while for the CPUs the only major cost is the die and packaging (maybe $300). It would be bad business if you're wafer constrained to make lots of GPUs when the CPUs make four to five times as much money.
This is a huge part of it right here. CPU's just have higher margin at the end if the day. With limited production you always try to maximize your average margin. Thats just smart business.
I think there is a general fear here we will have a repeat of 4 years ago where you would pay $550 for a rx580 if you could find one. We sold pallets of these cards just disappear to scalpers and miners at insane prices. It was dark times for gamers.
It was almost time for 20 series and navi by the time prices came back down to near msrp. Why would you pay msrp for last gen tech? Thankfully the mining market crashed and you could pick up a 8gb 580 for $140 after mir. 1060s were $199
So will we have to wait for next gen before prices come back down? Maybe.
Ive been listening to all the leading youtube channels about availability and pricing.
I know when they are spot on and when they are bias and full of bs, or they are being mislead.
Hardware unboxed reviewed cards and they said aib were being sketchy about pricing because AMD was being sketchy at what they were charging them.
That is an out right dishonest statement from the AIB's. The truth is they were feeling each other out to see if they could get away with higher pricing. This is easily demonstrable by the extremely wide margin of pricing from $700 reference aib to $900 asus rog.
That is a $250 premium over reference.
I have two contacts inside an industry that makes custom heat pipe heatsinks. I cant comment who. Sorry. But they both told me the same thing. The most expensive difference between their base model cooler and their best offering is ~$25. Higher grade components dont cost that much more either.
So lets say AMD is charging them more and they have to charge $700 for reference. $900 - $700 is $200
$200 - $60 (higher end components plus additional margin for those parts) = $140 difference.
Whats that $140? Pure profit for the AIB. Tooling does take a bite out of that. But not near that much.
They are taking advantage of the situation.