Even though it has fallen since crypto prices have fallen, the price of this graphics card is still relatively high, and AMD admits that they are holding back GPU supply to maintain the price.
This was revealed by AMD CEO Lisa Su in front of AMD investors, perhaps to calm them down because the PC market is declining, we were quoted as saying from Techspot, Thursday (2/2/2023).
According to him, AMD has reduced GPU shipments to balance the ratio between demand and supply, or in other words, hoarding existing GPU stock.
"We reduced shipments in Q3 (2022), we reduced shipments in Q4. We will reduce shipments to a lower level, Su said at the event.
This could happen because at the start of the pandemic, the demand for many PC components -- including GPUs -- experienced a very high increase, to the point that many even had difficulty meeting demand. But now, the demand is not as high as then.
Usually what is done to deplete stock is to reduce product prices. However, this means that companies will lose the huge profit potential that they enjoyed during the pandemic, and investors certainly will not like this condition.
And AMD isn't the only company doing this. For example, there is Sony, which reduced PSVR2 shipments by up to 50% because it turned out that the demand was not as big as imagined.
Likewise Nvidia, which in November 2022 stated the same thing as AMD. That is facing a decrease in demand by reducing the number of product shipments, we were quoted as saying from Techspot, Thursday (2/2/2023).
"We've reduced shipments of gaming (components) at this time so we can correct the inventory that has spread to the market," said Nvidia CFO Colette Kress.