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Hardware NVIDIA Reports Record Revenue
Anh Tuan Huynh (Blog) - August 9, 2007 5:45 PM
Print E-mail del.icio.us 46 comment(s) - last by Farfignewton.. on Aug 12 at 2:00 AM
NVIDIA reports a 36 percent increase from last quarter

NVIDIA today reports increased revenue for its second fiscal quarter of 2008. The company claims this is a quarter-over-quarter 36 percent increase for a record $935.3 million in revenue, up from $687.5 million. Net income for the second fiscal quarter was $172.7 million, computed by the generally accepted accounting principles, or GAAP. The company claims a non-GAAP net income of $198.1 million.

"NVIDIA delivered an outstanding quarter, with record revenue, record gross margin, and record net income. These results reflect the growing importance of the GPU as well as great execution across the company," said Jen-Hsun Huang, president and CEO of NVIDIA.

NVIDIA continues to maintain a market share lead, according to the latest Mercury Research numbers. The latest research shows NVIDIA claiming a 66 percent share of the standalone market and 65 percent of the total desktop standalone market. The company also holds a 64 percent share of the DirectX 9 and 75% of the DirectX 10 market, although AMD only recently launched DirectX 10 products last May and did not ship mainstream parts until the June-July timeframe. Additionally, the company claims a 68 percent market share in notebook markets.

The company attributes its market share growth to the growing size of the GPU market, the Vista experience is better with a GPU, DirectX 10 applications taxing systems and the advent of Blu-ray and high definition video, according to Huang during the Q2 2008 earnings conference call.

“Our mainstream DX10 GPUs entered the market a solid one-two quarters ahead,” Huang said. “The momentum is very strong. The market share data reflects that.”

NVIDIA declined to comment on its next-generation graphics processor. However, the company remains committed to the usual launch rhythm, which usually has a high-end part in the fall and mainstream parts to follow in the spring.

The fabs used by NVIDIA are at capacity, according to the company. “We would like more wafers, so there is a limitation there,” Huang said. However, the company does not plan on qualifying new foundry partners at this time.

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Nvidia should give a HUGE thank you
By retrospooty on 8/9/2007 9:25:52 PM , Rating: 3
to AMD/ATI for totally dropping the ball. 6 months late the the party, the 2900 series high end still didn't hold up to the 8800gtx. The next Gen wont be out until late this year (assuming it doesnt slip, and AMD/ATI slips alot of release dates). thats at least a whole year for Nvidia to reap the benefits.




RE: Nvidia should give a HUGE thank you
By East17 on 8/9/2007 10:24:28 PM , Rating: 1
Wrong , 2900XT was not ment to compete with 8800GTX and the price says the same thing .


RE: Nvidia should give a HUGE thank you
By retrospooty on 8/9/2007 10:50:04 PM , Rating: 1
"Wrong , 2900XT was not ment to compete with 8800GTX and the price says the same thing"

Nope, its not wrongg... That is complete marketing BS and you bought it. The 2900XTX was in AMD's roadmap and planned all along to compete with the 8800GTX, AMD even claimed it would be significantly faster. In the end (after they discovered whatever problems that occurred) they changed the name to 2900XT and priced it lower because it wasn't nearly as fast as the 8800GTX, so they "claimed" to not want to compete on the high end.

You read the press release from AMD... I have watched the market closely for the past decade.


RE: Nvidia should give a HUGE thank you
By HaZaRd2K6 on 8/9/2007 11:07:47 PM , Rating: 1
Now you're wrong. The 2900XTX still exists. The 2900XT that we know now (the 512MB GDDR3 version) was always on AMD's roadmaps. They killed the XTX (the 1GB GDDR4 version) because it drew so much power, but it walks all up and down the 8800GTXes (all you need to look at for proof is this: http://www.dailytech.com/article.aspx?newsid=7864 )

And the 2900XTX is actually making it to retail channels now. I just got a Sapphire one in at work (albeit in a brown box with very little fanfare) and wondered what the hell it was before figuring it out by reading the barcode text (by the way, you could never tell there was any difference between the 2900XT and the 2900XTX just by looking at it; unlike the 8800GTS and 8800GTX/Ultra).

What AMD did do was say they weren't competing on the high end by releasing a midrange product. They needn't say "We're not competing on the ultra high end" because their card says it for them. Yes, the 8800GTX (and in some cases GTS) outperforms the 2900XT, but the 2900XTX tears the GTX a new one and then hands it its ass on a platter.

Check out the link I provided if you need more proof.


RE: Nvidia should give a HUGE thank you
By Alexstarfire on 8/10/2007 12:13:26 AM , Rating: 3
Unless it gets into the hands of the consumers, which it hasn't, then it doesn't really exist yet. It only really exists when people can actually buy the product.

I'd like to see consumer reviews as well. Not that I don't trust DailyTech, but I'd rather see what other people are getting with their cards.

Better news for me since I'm still on the GF 7 series. If it only has DX10.0 capabilities then it's still doomed. DX10.1 is coming out next year, I believe. It'd be pretty stupid to release a new ultra high-end DX10.0 card right now.


RE: Nvidia should give a HUGE thank you
By balance101 on 8/10/2007 12:43:36 AM , Rating: 2
http://www.extreme-pc.ca/showproduct.asp?productid...

does this count as in the hands of the consumers ;)


By AmbroseAthan on 8/10/2007 9:21:22 AM , Rating: 4
If that review had actually used the same card configurations for each test, I might give it some credit. It does give the 2900XT some glory, but in every graph involving a GTX (except one), the 2900XT is running in Crossfire to make it look higher then the GTX; or they are comparing the 2900XT in CF against SLI'd GTS's (instead of GTX's). And in many cases, the GTX-Ultra is seen as a friggen powerhouse, which you can just overclock your GTX to or near.

I love AMD/ATI, I am holding out my CPU upgrade praying Barcelona is worthy... but NVidia took the cake by far this round.


RE: Nvidia should give a HUGE thank you
By Haltech on 8/10/2007 1:25:28 AM , Rating: 2
That article was Cross fire versus SLI not 2900 versus 8800


By rdeegvainl on 8/10/2007 1:57:30 AM , Rating: 2
Yeah but isn't crossfire and SLI supposed to be the highest of the high end?


RE: Nvidia should give a HUGE thank you
By killerroach on 8/10/2007 8:24:10 AM , Rating: 3
I think those numbers had more than anything to do with abysmal SLI support in Vista at the time the comparison was done than anything.


By Haltech on 8/10/2007 7:40:31 PM , Rating: 2
that was my point. Microsoft fixed that recently though


RE: Nvidia should give a HUGE thank you
By Chillin1248 (blog) on 8/10/2007 2:38:08 AM , Rating: 4
The 2900 XT(X) 1GB GDDR4 tears a new one out of a 8800 GTX eh?

http://firingsquad.com/hardware/diamond_radeon_290...

-------
Chillin


By retrospooty on 8/10/2007 9:19:46 AM , Rating: 2
I wouldn't believe anything I read at firingsquad, and Vista is not really a fair test of gaming platform.

Try this article here are AT. ATI Radeon HD 2900 XT: Calling a Spade a Spade http://www.anandtech.com/video/showdoc.aspx?i=2988


RE: Nvidia should give a HUGE thank you
By retrospooty on 8/10/2007 9:10:59 AM , Rating: 4
No, no proof needed. You are liestening to the PR as well. The XTX as is WAS was rebranded and price lowered to the XT because it could'nt compete. This new XTX is a move based on the fact that AMD wants something fast so they "reworked" it. You might call this the XTX "Ultra" it was not planned, not in this manor.

My point here is that AMD really dropped the ball this round and has been reworking their product lineup to try and compensate. That is what happened.


RE: Nvidia should give a HUGE thank you
By tseng517 on 8/10/2007 2:27:26 PM , Rating: 2
Let's not forget guys, that a lot of this has to do with the merger between AMD and ATI. I hate to say this, but ATI isn't the same as it was year or 2 before AMD bought them. The goal of the merger was to create a new and efficient method of delivering efficient and cost effective performance processors to compete with Intel to become the #1 chipmaker in the world. That had been AMD's goal the whole time. They're only merging with ATI to use their profound expertise in GPU to help them integrate the next big thing. In this case, "Fusion", which is expected to come to consumer mainstream and give AMD the boost they've always wanted.

Graphics is not the primary concern and focus from AMD/ATI anymore. Resources and focus had been diverted by AMD (Hundreds of Layoffs have been made). In other words, AMD "pulled the plug" for ATI.

I'm not saying that AMD won't be making quality discrete GPU's in the future. I'm merely saying that the current generation of R600 may not be as successful as it could've been due to a whole change in corporate structure.

I'm not an ATI fanboy although I do love some of their products. I worked for ATI before, and now for Nvidia. I love both companies and try not to take sides.


By Treckin on 8/11/2007 6:30:43 PM , Rating: 2
Wrong. AMD had almost nothing to do with the development, marketing, or even release of the 2900. It takes 12-18 months for a coporate takeover to effect the consumer with the exception of total liquidation and dismantlement. What the 2900, and indeed the entire 2000 series is is a PERFECT example of why they were up for sale and hemoraging money in a way that makes the current AMD situation looks like Chase-Manhattan...
If you want to see some of the results of the merger, wait for the next or after next series. We really need to wait for some of the managment skills of AMD to seep into the division.

People are always bashing AMD, especially Ruiz, however people need to realize how excellent AMD has actually done -- who else could actually challenge one of the most comprehensive monopolies ever with a mere 1/10th of the financial and technical resources.

Im no fanboi, but give credit where its due


By P4blo on 8/10/2007 12:24:33 PM , Rating: 2
Jesus it's boring hearing people say the same thing over and over "They didn't want to compete with the GTX". What a complete load of steaming horse ****! Of course they did, they would have been busting their buns to compete throughout most of the 2900 series development. Sadly, they made a bodge of it and had to have a serious re-think near the end. Why do you think the thing was so delayed?? They were trying to get some top line speed out of it!! Wake up or grow up, one of the two. ATI fans redefine the term 'in denial'.


By Slaimus on 8/10/2007 2:22:44 PM , Rating: 2
Did you read techreport's review of the 1GB? It actually draws less power than the 512MB GDDR3 version.


Well, look at the competition
By LCC2286 on 8/9/2007 8:44:10 PM , Rating: 2
Don't get me wrong, I absolutly love ATI but lately they've been lack luster in their product offering. Nvidia took extreme advantage of this and now they have high 60% market share in basically ALL of it's product lines.

It all comes down to what products are available to the end users and right now Nvidia is kicking some serious ass.




RE: Well, look at the competition
By LCC2286 on 8/9/2007 8:45:04 PM , Rating: 2
^ damn it you beat me


RE: Well, look at the competition
By kitchme on 8/9/2007 9:59:12 PM , Rating: 2
Was it really necessary to mention that?


RE: Well, look at the competition
By Regs on 8/9/2007 10:36:56 PM , Rating: 2
^ Damn you beat me to it


RE: Well, look at the competition
By maevinj on 8/9/2007 10:54:11 PM , Rating: 2
Was it really necessary to mention that


RE: Well, look at the competition
By Maximilian on 8/9/2007 11:32:03 PM , Rating: 2
^ Damn i was beaten to it.


RE: Well, look at the competition
By Xenoterranos on 8/10/2007 12:37:52 AM , Rating: 2
buffalo buffalo buffalo buffalo buffalo buffalo buffalo buffalo...


RE: Well, look at the competition
By miahallen on 8/10/2007 5:23:05 AM , Rating: 4
Damn, I think it's necessary to beat all of you with a buffalo!


RE: Well, look at the competition
By Ringold on 8/9/2007 9:52:38 PM , Rating: 2
And it's rewarded by being down 2.23% in the after-hours. :\ I'll have to dig in to the numbers I guess, maybe it's not all good, but what a funky market.


RE: Well, look at the competition
By Ringold on 8/9/2007 9:54:56 PM , Rating: 2
quote:
Chief Financial Officer Marvin Burkett said that in the current quarter there may be "some product limitations, as manufacturing is somewhat limited and our inventories are low.


That answers that question. More of a supply constraint than hinted in the article above. Still, nice quarter.


LULZ
By umeng2002 on 8/9/2007 8:06:03 PM , Rating: 2
All this on broken drivers for over a year. I guess it's simple really. Who ever has the best performance makes the money - never mind if the product actually works.

I find it funny that reviews never have driver issues like the lot of uses (at least "power" users do).




RE: LULZ
By Tsuwamono on 8/9/2007 8:22:46 PM , Rating: 2
i have alot of friends who have had problems with their 8800s but so far i have had none. Thank god. Usually im the one who gets stiffed with the bad cards lol


RE: LULZ
By Ringold on 8/9/2007 9:50:19 PM , Rating: 2
I'm a "power" user and, in the titles commonly used by reviewers, I've never hardly had problems, not for a long time.

Lesser known titles, though, like Space Empires V, or Continuum until just recently... another situation entirely. :) BUT that's only in Vista, with both of those games, and mostly in Vista 64bit. XP does a bit better.

On the other hand, though, I'd consider where you get your reviews. [H]ardOCP, where I tend to get mine first, has had no problem in reporting driver and IQ flaws where ever they appear --including, as I recall, when it comes to some early driver flaws with the 8xxx series. Nothing "funny" about the [H] crew.


RE: LULZ
By Domicinator on 8/9/2007 10:09:46 PM , Rating: 2
Um, no. Sorry, but you're way off base here. I have an 8800GTS and I'm running it in Windows Vista Home Premium. I'm having ZERO problems with driver issues. The first couple of Vista drivers they released were awful, but after about 2 months they got their act together. I'm playing:

Rainbow Six: Vegas
Titan Quest
Oblivion and all expansions
Company of Heroes w/DX10 patch
BF2142
Civ IV and all expansions
Neverwinter Nights 2
Half Life 2
Half Life 2 Ep. 1
Black and White 2
Tomb Raider Legend
Tomb Raider Anniversary

All of these titles are in active rotation on my PC right now and I'm not having a single issue. I think the last 4 or 5 driver releases from Nvidia have been terrific.


RE: LULZ
By Phynaz on 8/9/2007 10:19:05 PM , Rating: 2
Where's the Vista SLI drivers?

Ok, now where are the ones that work?


RE: LULZ
By maroon1 on 8/10/2007 6:53:12 AM , Rating: 2
ForceWare 162.22 have SLI support

http://www.nvidia.com/object/winvista_x86_162.22.h...

And there are ZERO problems with those new nvidia drivers


This is how bad ATI is doing...
By daftrok on 8/9/07, Rating: 0
RE: This is how bad ATI is doing...
RE: This is how bad ATI is doing...
By tseng517 on 8/10/2007 2:35:00 PM , Rating: 2
What a lot of ppl are forgetting is that Both the 8800 and the 2900 are DX10 cards. Yet most of the reviews/benchmarks that you see are based on DX9 or older applications and games. There is just not enough DX10 games/apps do be tested at the moment to determine the winner for the DX10 generation. ATI have shown significant performance increase in a number of early DX10 tests in comparison to the 8800. So who knows, the HD2900 might be the card to get for DX10 games.

People are concluding that 8800 is a better card overall, but they're forgetting that one of the card's main purpose is to play next generation DX10 games. Beating out the competitor in existing DX9 games/apps is not good enough to be declared winner in this round. If so, why not just settle for the previous generation of cards such as X1900 and 7900 series?


By Farfignewton on 8/12/2007 2:00:15 AM , Rating: 2
quote:
Beating out the competitor in existing DX9 games/apps is not good enough to be declared winner in this round.


Actually , I'd say it is good enough. I have precisely zero dx10 games installed right now, and oh, probably 12-15 dx9 titles. By the time there are enough dx10 games out to make dx10 performance more relevant than dx9, both cards will have been eclipsed by new offerings. Probably more than once. Yes, there will be plenty of people still using these cards, but the "round" will be over at that point.


ATI-AMD what a team
By ChipDude on 8/9/2007 9:28:14 PM , Rating: 3
Looks like this AMD-ATI merger is doing wonders for their respective competitors.

INTEL is crushing AMD across the board

Nvdia is cleaning ATIs clock.

AMD is late on next generation CPUs
ATI is late on next generation graphics

INTEL and Nvdia record growth and big profits

AMD-ATI resport record losses

Is there an recurring theme here?




RE: ATI-AMD what a team
By rdeegvainl on 8/10/2007 2:01:20 AM , Rating: 3
yes, because all of the product they just recently released were developed after the merger... /sarcasm
I will say that they haven't been doing well financially, but give them time, though if fusion doesn't do well.... i will gladly jump ship, but i have no need of a new computer for a few years so i don't have to worry about what is going on in the mean time.


bah
By shraz on 8/9/2007 9:40:07 PM , Rating: 2
AMD has way less money to spend in R&D than Intel even in the good X2 times.

ATI didn't completely failed in 2900XT as the crossfire is the fastest vs SLI.
ATI just needs to make it quiet and less energy hunger and they will do good.




RE: bah
By maroon1 on 8/10/2007 6:43:59 AM , Rating: 2
quote:
as the crossfire is the fastest vs SLI.


Crossfire is faster in what ? In 3dmarks ?!!

I don't think crossfire is faster in gaming

And who cares ? very few people will use SLI or Crossfire because they are waste of money............


Obvious for me
By thartist on 8/9/2007 8:36:02 PM , Rating: 2
With AMD doing what they did in the v-card dept, you should be an idiot not to expect this. Congrats nVidia for making revenues out of super-overpriced cards too.

Conclusion: sad story.




well done i say
By otispunkmeyer on 8/10/2007 3:52:04 AM , Rating: 2
they deserve it... they've pretty much been on time with some stellar products since the launch of the 6 series. they were the first to get DX10 out the door and i have to say what a piece of silicon that G80 is...its a bit of a master piece.

they've pretty much been giving us the top stuff, with the latest technology, bang on time with great performance.

theyre doing everything (except drivers perhaps) right as far as i am concerned.




GEAT!
By ioKain on 8/10/2007 9:07:59 AM , Rating: 2
Now spend some of that money hiring some competent people to code/fix your worthless crap drivers, thx.




8800
By MasterYoda on 8/9/2007 8:28:57 PM , Rating: 1
I bought an 8800 GTX the day they came out (Nov. 7) and have been throughly satisfied with it ever since.




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