Compared to the last generation, the GeForce RTX 4000 series from Nvidia is priced much higher. This has led to a market with a high supply of brand-new graphics cards but low demand.
Generally, companies tend to lower their prices in this situation, but Nvidia appears to be taking a different approach since CEO Jensen Huang seems unconcerned about the sales of the GeForce RTX 4000 graphics cards.
If the PC market does not agree with the current pricing, Nvidia reportedly plans to move toward the laptop sector, which would result in a shortage of desktop RTX graphics cards.
The demand for PC hardware has taken a downturn since last year. Due to the current recession and the economic conditions, users are not interested in investing copious amounts of money in expensive graphics cards.
To save on costs, some users are now moving toward investments in portable devices. Laptops cost more than PCs, but they can also be very affordable in certain instances.
This has resulted in a rise in demand for portable gaming laptops and handhelds. However, Nvidia is not currently operating in the handheld gaming sector except for its partnership with Nintendo.
On the other hand, chip manufacturer TSMC is also suffering production problems and is currently overwhelmed with producing AI chips. Therefore, it would not make sense to manufacture desktop graphics cards that sit on shelves in the current situation.
To tackle this problem, Nvidia may have decided to stop the production of desktop graphics cards, moving entirely toward laptop production. If true, this will soon affect the current GeForce RTX 4000 series stock.
Therefore, users looking to purchase any of Nvidia’s new offerings may be better off doing so soon. Once the demand exceeds the supply, the prices could skyrocket, repeating the situation from the GeForce RTX 3000 series.
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