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RTX 3000: Here’s the real reason why prices have dropped

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It’s hard to miss the phenomenal drop in graphics card prices in recent months. If the reasons are multiple, Nvidia has just admitted that the main one is its responsibility. The manufacturer has simply manufactured far too many graphics cards before the arrival of the new generation.

nvidia geforce rtx 3070
Credits: Unsplash

Earlier this week, we shared some news that no one would have dared to believe a few months ago: the majority of graphics cards are now sold at a reasonable price. It should be noted that by reasonable, we mean around the price recommended by the manufacturers, which can be considered high given the fact that the next generation will soon be marketed.

The whole question was therefore how graphics cards once sold at exorbitant prices can now display prices. Several hypotheses apply. First of all, although still present and a source of slowdowns, the shortage of components is much less important than in the past two years, relieving some of the pressure from the shoulders of manufacturers. We can also cite the fall of cryptocurrencies which has contributed to the disinterest of miners in graphics cards.

Why the price of graphics cards has fallen so quickly

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Nevertheless, the most plausible theory has always been the imminent arrival of the next generation of graphics cards. This is especially true for Nvidia, which has been preparing for the imminent launch of the RTX 4000s for several months. Today, Jensen Huang, CEO of the Greens, confirmed our suspicions: there are simply way too many RTX 3000s in stock.

“We ended up with too many stocks”explains the latter. “Our strategy is to sell well below current market prices to give dealers an opportunity to correct [le tir]. » Translation: it is absolutely necessary to sell the stock before the launch of the new generation of graphics cards.

Related — RTX 3000: Graphics Card Prices Drop So Much, RTX 3090 Ti Drops $1000 Suddenly

Nvidia also confirms that it has forged partnerships with resellers to encourage them to lower the prices of the models listed. Of course, that’s not to say the RTX 3000s are available at rock-bottom prices. As explained above, they just fetch a reasonable price. However, this explains the sharp drop observed over the past few months.

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Source : The Verge

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