Nvidia shrugs off AMD’s vega card

Nvidia’s CEO Jen-Hsun Huang doesn’t seem too bothered about AMD’s upcoming high end vega graphics card as he shrugs off the competition.

At GTC where Nvidia showed off the new tesla Volta graphics card, Blayne Curtis from Barclays Capital asked Jen Hsun if nvidia’s is worried about competition Jen Hsun shrugged off competition by saying ‘My assessment is that the competitive position is not going to change.” Obviously Jen Hsun was never going to admit if AMD was a threat to nvidia, but his confident answer does suggest that nvidia’s isn’t going to be changing tactics in response to AMD’s vega card. This could mean that it is unlikely that nvidia will decrease its price for its high end graphics cards or release its’s next line of graphic cards code named Volta earlier than expected as some rumours have suggested.

Why isn’t Nvidia bothered? Nvidia has been having a pretty good year thus far with taking €1.9 billion in revenue in q1 this year an 50% increase on q1 last year! Since reporting its q1 earnings shares in the company have rocketed 17% with many economists saying that nvidia is an unstoppable monopoly.

Not all of nvidia’s billions are made through gaming graphics cards but a large chunk of it is with 53% going to gaming products meaning being top dog when it comes to graphics cards is pretty important to the company’s bottom line to say the least.
With AMD’s highly anticipated high end graphics card set to hit the market very soon some believe that nvidia’s dominance maybe threatened, but nvidia’s CEO doesn’t think so!

Even if amd does pulls it off and successfully competes with nvidia, Jen Hsun’s attitude/arrogance to not adapt to the threat posed by nvidia could be bad for consumers as there simply will not be a war between nvidia and amd to be the best meaning consumers don’t get cheaper graphics cards or better specs. Boo!

What do you think?

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