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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.

Sources: Computer World, CNET

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RE: why
By inighthawki on 8/10/2013 7:29:47 PM , Rating: 2
Man you are just spreading a TON of FUD on here about Android. Like this statement. Or saying "Android was made to run on phones". Where do you get that?

There's nothing wrong with Android, it's just not as full featured as windows. this is not bias, it's just pure fact. Also, when did I say *anything* about phones in that post?

Can you name some of these "features" RT has over Android. And by features I mean those people would actually care about.

How about a desktop? command prompt? bitlocker encryption? storage spaces? A full version of MS office? Better support for user accounts? Better localization? Significantly better support for external devices such as printers and scanners? A fully featured file browser? Better security? A full administrator toolset?

Android is great, but the only thing that it is "better" at than Windows RT is app count, install size, and maybe some performance because it's designed as a smaller and leaner OS.

Microsoft is the biggest software company in the world. Hell they INVENTED the big software company. Now call me crazy, but I have to believe the largest software company on the planet, f'ing MICROSOFT, could make some very good apps for the platform that they so highly tout.

They push very hard on developers and a large number of the "top apps" are available. But if you seriously think a single (even really huge) company can push out apps in numbers to counter an existing library of a million apps on a new platform, then you're insane.

And yet the preloaded apps for Windows 8 are mostly garbage. Especially the e-mail app, my god, it's gotta be the worst e-mail app ever EVER. You go to the app store and what's there? A bunch of garbage too.

Agreed, I think they could've done much better on their in-house apps. But let's be fair. A good 95+% of the apps on android and ios are garbage too. Don't be biased here. There's really only like 50 apps that everyone in the world use, and the rest are just mediocre or bad.

"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation

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