NVDIA CEO Defends High RTX 4000 series prices after Outrage. Sites rising costs.

In an interview with Market Watch sites new RTX 4000 Gaming GPUs manufactured on TSMCs custom NVIDIA 4NM node is much more expensive.

“A 12-inch [silicon] wafer is a lot more expensive today than it was yesterday, and it’s not a little bit more expensive, it is a ton more expensive,” Huang said.

“Moore’s Law’s dead,” Huang said, referring to the standard that the number of transistors on a chip doubles every two years. “And the ability for Moore’s Law to deliver twice the performance at the same cost, or at the same performance, half the cost, every year and a half, is over. It’s completely over, and so the idea that a chip is going to go down in cost over time, unfortunately, is a story of the past.”

From what I read 5nm or custom 4nm for NVIDIA is twice the cost of Samsungs 8nm which was the RTX 3000 series was being made on.

I would have to agree to a certain extent. Not coming with excuses for NVIDIA but that's the reality. If RTX 3070 cost $499 at launch. 50% die cost increase would make it $749.99. But that doesn't explain the $900 price for what is essentially a x070 series with the RTX 4080 12 GB. Even if they sell on volume it should be less. Regardless, any way you spin it its still more than what they should be charging despite 50% cost increase for 4nm

Fact of the matter is NVIDIA is sitting on exccess stock or RTX 3000 series. Hence the delay of the RTX 4080 until November. By then all RTX 3090/3090 Ti and any remaining AD102 die should be sold. .

He thinks that they will have a great Q4 with sales of RTX 4000 series stating it’s going to be “a pretty terrific Q4 for Ada,”

I might actually have to agree with him. If Apple fanboys are buying iPhone 14 Pro MAX for $1200 whats' stopping NVDIA fanboys from shelling out $1200 - $1600 for RTX 4080 16GB or RTX 4090. Apple and NVIDIA has similar mindshare.

I expect most 3090/3090 Ti to be sold by November. Then NVIDIA will release the 4080/4080 12GB then followed by 4070. Once all the 3080 and below get's sold (from what I hear they are a ton of 3000 series to be sold) expect that to be cleared by end of January. Then I expect NVIDIA to release the 4060 and below to be released.

I think it will be a tough 3 - 6 months for NVIDIA especially if AMD brings heat with RDNA 3. They basically have to manage selling RTX 3000 series and RTX 4000 series at the same time.

Source

50% increase on one critical piece doesn't translate to 50% or more increase in price(as you say). They do it simply because they think people will pay it.

I remember the days where you would see actually magnitudes of performance increases from one generation to the next while spending same about.... Like for example 7800GTX MSRP $600 vs 8800GTX MSRP $600 where you actually got 2-4x the performance , not using AI injecting frames, and relying on upscaling to say your getting 2-4x the performance when in fact your only getting well below the claimed performance gains.

Never claimed that it would directly translate to 50% price increase. I stated it would to a certain "extent". Yes, I agree they think people will pay it. We will find out.

There's chip shortage but I don't know, people will still pay they keep doing their stuff - who's to complain? supply and demand

don't like the prices don't buy, gaming isn't mandatory like water and food,

there's also Intel and AMD nowdays if you must pick something new or for a while, also there's 2nd hand market.