Windows RT Woes Weigh on NVIDIA Revenue, Company Working on 2nd Gen Surface RT
August 9, 2013 10:40 AM
comment(s) - last by
Nvidia expects significant declines in Tegra profits for fiscal 2014
NVIDIA recently announced that it is expecting a significant drop in its Tegra chip revenue this year. NVIDIA is predicting that revenue may drop as much as 40% and is laying the blame for that significant drop at Microsoft's feet citing poor Windows RT adoption as the cause.
"We don't expect as much return from the investment as we had hoped," NVIDIA CEO Jen-Hsun Huang said this week.
Microsoft and NVIDIA worked together closely to ensure that
Windows RT would work on the NVIDIA Tegra 3 chips
. Lenovo was one the manufacturers that produced a tablet that used NVIDIA's chips, but that tablet, the Yoga 11, was
yanked from Lenovo’s online store
NVIDIA posted revenue for its Tegra line in the last fiscal year of around $750 million. The expectation is for revenue from the chip family in fiscal 2014 to be $200 million to $300 million less than last year.
Despite the fact that revenues are expected to significantly declined for NVIDIA's Tegra line, NVIDIA continues to work with Microsoft on the second-generation Surface tablets. Jen-Hsun Huang says that NVIDIA is working very closely with Microsoft to make Surface 2 a "big success."
If NVIDIA is onboard with Surface RT 2.0, we’re likely to see
Tegra 4 as the brains behind the machine
This article is over a month old, voting and posting comments is disabled
8/9/2013 12:12:17 PM
Agreed. But trudging along with Win32 indefinitely obviously wasn't going to cut it. They were right to try to move things along -- they were right to aim for a lot of the things they aimed for -- it's just that they're abysmal at execution.
And to be honest, it isn't really that problematic that there's a Windows proper and a Windows RT. It makes sense for them to stick with it until they can figure out a valid value proposition. The actual problem is that the clock is ticking; they can't just goof off and stumble around on this forever.
This stuff would've happened to a much worse degree if they hadn't acted as soon as they did. Lugging Win32 into the future would've seen them eventually shrivel up from starvation as the Operating System will no longer be a monolithic cash cow that no one wants to bother with. Everybody's got an OS these days.
The Windows business model was approaching a brick wall and Microsoft took action before it was too late. The tragic thing is that it was stupid action. Perhaps they end up crashing (and starving) anyway.
"We’re Apple. We don’t wear suits. We don’t even own suits." -- Apple CEO Steve Jobs
Lenovo Discontinues Online Sales of Yoga 11 Windows RT Tablet
July 18, 2013, 8:25 AM
NVIDIA Breaks Silence, Sticks up For Microsoft's Windows RT
May 10, 2013, 1:47 PM
CES 2013: NVIDIA's Tegra 4 Debuts as "World's Fastest Mobile Processor"
January 7, 2013, 12:52 AM
Samsung Hopes to Launch Budget Tizen Device in India by November
September 19, 2014, 5:25 PM
Verizon Wireless Wi-Fi Calling Coming Next Year, Company Sees No Rush to Offer Feature
September 19, 2014, 11:45 AM
Quick Note: Toshiba to Restructure PC Business, Cut 900 Jobs Worldwide
September 18, 2014, 1:40 PM
Samsung Galaxy Note 4 U.S. Pre-orders Start Sept 19, Launches Oct 14
September 18, 2014, 10:15 AM
Amazon Releases New and Refreshed Kindle Fire Tablets, Announces Fire OS 4
September 17, 2014, 10:23 PM
Apple Launches iOS 8 for iPads, iPhones
September 17, 2014, 1:54 PM
Most Popular Articles
HTC Preps Nexus 9 With Nvidia K1 64-Bit "Denver" SoC, Android L Onboard
September 10, 2014, 10:21 PM
Quick Note: Buy an Xbox One Sept 7-13, Get a Free Game
September 4, 2014, 10:42 AM
Apple Announces Its Smartwatch: The $349 Apple Watch
September 9, 2014, 2:09 PM
Dell Announces "World's Thinnest" Tablet: The Venue 8 7000 Series
September 11, 2014, 8:51 AM
T-Mobile Launches Un-carrier 7.0, Beefs Up Wi-Fi Calling
September 11, 2014, 2:56 PM
Latest Blog Posts
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information