Graphics Card Business Turning South As Demand From Bitcoin Miners Cools Off

Turn out the lights, the party's over. Graphics card vendors enjoyed a boost in sales thanks in large part to the Bitcoin mining craze (along with other forms of virtual currency, like Litecoin) that everyone seemed to get caught up in, but the thing about these cryptocurriences is that they're exceedingly difficult to mine and profit from as time goes on. Now that virtual coin mining has cooled off a bit, so too has the demand for GPUs.

Citing sources from "graphics card players," Digitimes says worldwide videocard shipments are about to fall off a cliff -- more specifically, shipments are expected to decline anywhere from 30 percent to 40 percent this quarter compared to the previous one.

Asus R9

The sources specifically point out dropping demand by the Bitcoin community. If you recall, AMD's R7 and R9 Series were a bit hard to come by for awhile, and when they were in stock, they carried inflated price tags. AMD made a concerted effort to splash the market with more inventory, and combined with reduced demand from virtual coin miners, you can now find R7 and R9 Series cards in stock and priced appropriately.

NVIDIA's graphics cards aren't as popular for Bitcoin and Litecoin mining, tough they're still used by some. In any event, now that the virtual coin mining craze has subsided a bit, we can get back to watching AMD and NVIDIA compete on price and bundles.
Via:  Digitimes
Comments
MichaelBrooks 6 months ago

Really... You all think that graphics cards are driven by bitcoins? Lol.....

HotHardware1 6 months ago

I don't think that's what we're implying here, Michael, though the coin mining industry heavily affected pricing/supply of GPUs for a long time, actually.

WilliamBelmont 6 months ago

good now I want have to pay 150-200% MSRP :p

CDriverSchroder 6 months ago

I happen to think that once Nvidia releases its new architecture if the benefits are good enough a lot of people even if they just got a 700 series would be willing to upgrade if the performance Per watt is better

JmeIl 6 months ago

Well, I'm excited for a flood of second hand video cards for cheap.

CDeeter 6 months ago

I don't think i'd buy any of those cards, they were pushed hard 24/7. I wouldn't trust them.

NickModrowski 6 months ago

Good, now I won't have to mortgage my house to build a system. I've been an avid AMD user for years, but the up charge from bitcoin miners has caused me to use nvidia hardware lately.

JonathanLemonde 6 months ago

Those mothers were the cause for inflation in the first place. Pricks.

RemiDumas 6 months ago

You don't want those cards.

lipe123 6 months ago

Cant be right, everyone knows asic boards are faster cheaper and use less power.

The people that tried to get any real money from mining with GPU's just lost money or broke even.

Also something intresting: http://www.extremetech.com/extreme/184427-one-bitcoin-group-now-controls-51-of-total-mining-power-threatening-entire-currencys-safety

JoshuaHeisenberg 6 months ago

Amd had to know this was coming, clearly was an unstable market

realneil 6 months ago

Prices for the R9 series cards went way up once they were found to mine coin so well. They were released at a good price to begin with.

Recently I got a good deal on two R9-280X OC GPUs and crossfired them for some excellent gaming performance. I like them a lot.

 

[quote user="JmeIl"]

Well, I'm excited for a flood of second hand video cards for cheap.

[/quote]

I agree. Prices can't fall fast enough for me.

SamLang 6 months ago

This is late news

paul_lilly 6 months ago

No, it's not -- the projected 30-40 percent decline is a brand new forecast.

ChandlerKeithHenson 6 months ago

about time, and its not Bitcoin miners anyways, its Litecoin miners right now, Bitcoin is not profitable to use GPUs anymore

MaroGharon 6 months ago

good news for us budget gamers.....

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