The 5,661 million that NVIDIA has entered represent a year-on-year increase of 84% compared to last year’s data, and of this amount 1,912 million have been net profits (benefits), which represents a 107% increase compared to last year’s data. These data assume that the past quarter has been a historic milestone for the company, generating a new profit record in its records.
NVIDIA and its strategy with CMP GPUs for mining
Behind this financial report, of course the graphics card business is the one that has contributed the most and has generated revenues of $ 2.76 billion, which is also a new record in the history of the company and represents an increase in 106% compared to the same period last year and 11% more than in the previous quarter, denoting that the graphics card business is booming for NVIDIA despite the shortage (imagine what numbers NVIDIA would handle if there were no shortage) .
Another point worth noting is the NVIDIA CMP graphics for mining. In the last quarter NVIDIA has started sending a large number of these graphics dedicated to cryptocurrency mining to providers and even directly to miners; NVIDIA has revealed that their sales reached 155 million dollars, and they forecast that in the current quarter they will increase even more and they expect to enter 400 million only with these GPUs.
Despite the fact that 400 million dollars may not seem like a lot for a company that makes more than 5,600 million in just three months, we cannot forget that these are graphics cards that do not even reach the stores; There is a huge amount of GeForce graphics for gaming that it is not possible to know if they are being used for mining, but considering that NVIDIA’s income has doubled in this regard, we can only suspect that NVIDIA is focusing a large part of its resources and efforts to manufacture these graphics rather than those that reach consumers.
Compared to the “Bitcoin craze” that took place back in 2017, the market is now worse than ever and it is now extremely difficult to buy a graphics card for gaming, and even more so to do so at the price at which it should be sold now. that even stores are selling gaming graphics up to triple its price.
NVIDIA says it is confident that the market will return to normal, and so did its CEO Jen-Hsun Huang at the meeting for this financial report. According to Huang, they are not worried about the disaster that mining is causing in the market, since they say that the situation is now very different from what was that “Bitcoin madness”; RTX graphics are said to be in the early stages of their life cycle and once they meet the demands of miners, gamers will be able to purchase their GPUs.
In essence, what we understand by this is that NVIDIA is striving to meet the demand of miners first, leaving gamers in the background, and that when miners no longer need graphics, it will be when players can return to buy graphics cards.