Nvidia kills GTX285, GTX275, GTX260, abandons the mid and high end market

Tagged: nvidia video card, Computer Hardware
Source: Semiaccurate - Read the full article
Posted: 4 years 51 weeks ago

NVIDIA IS KILLING the GTX260, GTX275, and GTX285 with the GTX295 almost assured to follow as Nvidia (Nvidia: NVDA) abandons the high and mid range graphics card market. Due to a massive series of engineering failures, nearly all of the company's product line is financially under water, and mismanagement seems to be killing the company.

Not even an hour after we laid out the financial woes surrounding the Nvidia GTX275 and GTX260, word reached us that they are dead. Normally, this would be an update to the original article, but this news has enough dire implications that it needs its own story. Nvidia is in desperate shape, whoop-ass has turned to ash, and the wagons can't be circled any tighter.

Word from sources deep in the bowels of 2701 San Tomas Expressway tell us that the OEMs have been notified that the GTX285 is EOL'd, the GTX260 is EOL in November or December depending on a few extraneous issues, and the GTX275 will be EOL'd within 2 weeks. I would expect this to happen around the time ATI launches their Juniper based boards, so before October 22.

The lone survivor, maybe, is the GTX295, available only as a complete board from Nvidia. This is said to be almost impossible to get, likely for reasons we went into in the earlier financial article, cost. AIBs do not expect this product to last very long, likely until current stock is depleted.

Basically, engineering failure after engineering failure has left Nvidia without a high end part, they are left waving shells while trying desperately to convince the loyal press that it is real. While that is a problem for the future, the current concern is that they have nothing that can compete with the ATI's Evergreen line, HD5870, HD5850, and the upcoming Junipers.

The G200b based parts can compete on performance, but not at a profit, so they are going to die. Nvidia was booted out of the high end market, and are now abandoning the mid range in a humbling retreat. Expect a similar backpedaling from the rest in January when Cedar and Redwood come out.

There are no half or quarter Fermi derivatives taped out yet, so at a bare minimum, Nvidia has nothing for 2 more quarters. To make matters worse, due to the obscene 530++mm^2 die size on TSMC's 40nm process, Fermi is almost twice the size of its competitor, Cypress/HD5870/HD5850. A cut down half version would cost less but still be barely competitive with Juniper. That chip would once again be vastly larger and more expensive than the ATI equivalents, and that is before board costs are examined. As the product stack waterfalls down, the ratios remain the same, Nvidia cannot be cost competitive for the Evergreen vs Fermi generation, period.

Massive engineering failures and cover-ups, starting with Bumpgate, have defined the company for the last two years. More recently, this includes the G212 failure, G214 fiasco and failure, now morphed into the G215 which is 3Q late so far, if it can ever be made profitably, and the G216 and G218 with the broken GDDR5 controllers. One or two failures are understandable, this many is flat out mismanagement.

As we have been saying all along, there is no savior chip, no plan B, they all failed. Nvidia can make chips and sell them at a loss, or retreat from those markets and lose less money. The only question now is whether or not they can fix their engineering problems and get competitive parts out before they run out of cash. Given that the earliest that this can happen is next summer, it will be very touch and go.

Nvidia has alienated anyone who could be their friend, spawned needless lawsuits that very likely drive the company to a net negative value, and failed to sell the company while it still had a perception of worth. If you ask them, Nvidia will tell you that it is boldly turning itself into a vibrant GPU compute and cell phone chip giant. Should you want to remain in their good graces, this is not to be perceived as an exit strategy.

With the cancellation of the GTX285, GTX275, and GTX260, possibly the GTX295 too, Nvidia is abandoning the entire high end and mid-range graphics market. Expect a reprise in January on the low end. The company is badly mismanaged and hated by the very partners they need to throw them a life preserver.

The only thing that can save them now is a wholesale replacement of top management. Sadly, the only people with enough shareholder leverage to do so are those very managers that need to go, so that is very unlikely. Unless there is a white knight or buyer in the wings, it is game over. At $1/year, Jen-Hsun is overpaid.S|A

 

Comments

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Anonymous

Nvidia was booted out of the high end market, and are now abandoning the mid range in a humbling retreat. Expect a similar backpedaling from the rest in January when Cedar and Redwood come out.
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Anonymous

the collumn on the right. an ati ad. a list of the "top 5 articles", all five of them bashing nvidia. another ati ad. this guy is tickling his own balls, not reporting news. ">Virtual Adult Game

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Anonymous

This has all been catagorically denied by Nvidia. This piece of "jounalism" is FUD at it's worst. How does the author live with himself?

Anonymous

Great story.

Nvidia does seem to be in huge trouble to me. By the time they get their GT300 out the 5870X2 is going to have been on the market for awhile. ATI has done an amazing job to turn the tables over the last 2 years and should be congratulated for this.

Nvidia has lost a lot of momentum they have by all the rebranding they have been doing as well. The 9000 series was a complete sham, the PhysX marketing is pretty weak (there is no need to make game physics proprietary, its lame), and two HD 4770's already kill anything in their lineup besides the GTX 295 .

Anonymous

Seriously people, you need to look at this as trouble brewing for the industry in general. Sure Intel is showing progress in their own graphic endeavors, ATI is finally picking up the quality with the latest 5870s, Nvidia does seem to enjoy the 'prestage' in certain extent but the less that is out there to flood the market the higher the price. And frankly Nvidia's driver quality has dropped big time, not to mention the snafu with the faulty chips in laptops a few months back really is not helping their image.

Anonymous

that's some good nonsense.

NVIDIA is behind on the 300 series launch, no question about it, how far behind is up for debate. But there's no point in building expensive old parts no one will buy.

The AMD graphics parts are made on the same TSMC 40nm process, they have different contracts with TSMC, one buys wafers one buys chips, but it's basically the same. The GTX300 is going to be a massive chip, and probably not have the same relatively performance as the last generation.

As to replacing their top management. What exactly do you think NVIDIA's market is? GPUs are moving on die, meaning the only players in the market are going to be intel and AMD, unless they can create a concrete reason for a discrete GPU, and that market is going to shrink dramatically if on die GPUs become 'good enough'. They can try and be bought out by intel - unlikely at this point, break into the x86 chip business, possible but risky (and expensive), or try and position their products in the long run as something other than a GPU. The latter looks the direction they're gently leaning, but time can change things quite a lot. If anything, shy of either of the first two options (being bought by, or competing with intel) they're doing the only reasonable business decision: Make a product *someone* (high performance computing types and cell phone guys) will pay for, it's not a great selection of choices but they've gone the only safe direction, but without jumping too far if the situation changes.

Anonymous

well i could see it coming because everything is so expensive now $800 for a graphics card is ridiculous.
they killed themselves and ati is next.
i own nvidia cards and each one doesn't live upto it's hype.

it was a great company until they merged with intel intel kileed them. just like amd is going to kill ati.

Anonymous

you nvidia fanboys called bullshit when Charlie started to report about the Bumpgate fiasco. Nobody believed him.

Until summer last year when Nvidia had to admit it. Now Nvidia has three lawsuits against it. Sony admitted to mass dying Vaios with nvidia chipsets, Apple did so, Dell, hp...

yeah, but Charlie is talking bullshit?

And please - 'EOL is planned as always when a new family is out'.

WRONG: When the 8XXX came out, Nvidia still sold 7XXX for a while. The 9XXX series was just a rename. And with the 2XX out they still sold G80+92 based chips (that is 8XXX and 9XXX for you). But suddenly they cancel the whole 2XX series - without a new card out?

Fermi is at least a couple of month away - and even then not for the midrange market covered by the 260/275/280. So whever calls 'bullshit' hasn't have and grasp of the situation.

Anonymous

I enjoyed the article it sounded like the writer is a love scorned teenage girl with a vendetta against nvidia. Seriously I would lop this article in with the satire category.

Anonymous

what's with all the missing words in this article?

just repeating this tripe is obvious signs of bullshit.

Anonymous

Don't you just LOVE a good FUD in the morning? lol
I'll post an update very soon.. ;)

Delusion77
Offline
Joined: 05/24/2008
Posts: 99

seems like a fake, im all for ati and all, but no competition = high prices, no incentive to keep things affordable.

hopefully this is a fake, if it isnt then nvidia deserved it anyway

Manic Mouse
Manic Mouse's picture
Offline
Joined: 02/01/2007
Posts: 125

Sounds like business as usual for Nvidia. When a new product is launched, kill off the old ones so you don't have to say there is ongoing support for them.

Very similar tactic to the one Creative Labs uses (and gets away with).

Mark Baker

Gigabyte Z79X-UD5H, Intel i7 4790K @4.4Ghz (stock speed), 32gb G.Skill RipjawsZ 10-10-10-30 PC3-12800, Sapphire HD 7950 3GB, OCZ Vertex 4, Vertex 3, Intel 510 & Adata SSDs, wrapped in a CoolerMaster HAF XM case

hicks16
Offline
Joined: 07/06/2009
Posts: 36

This is definitely a spoof. Just found 2 fresh new articles made 57min ago. Nvidia will probably EOL the 200 series once the new GPU's come out....but Nvidia does that with every new series. FERMI is real and is coming out at end of November.

http://news.cnet.com... http://www.atomicmpc... http://www.nvidia.co...

Anonymous

Okay, but why aren't the cards being restocked, and why was the Fermi a mockup, while they're claiming it was a real GPU? nVidia feels it has an image to maintain, so it's going to dangerous lengths to keep it up. Thing is, the market doesn't react well to hype with no results.

ATI was on the rocks not too long ago, but they admitted it and reworked their approach. That's what led them to the successful point they're at now. Eyefinity has the professional graphic sector nailed, and the high-performance 58xx series have the consumer gaming sector as well.

Last gen was won by nVidia, this one is pretty clearly ATI. Fanboyism and propaganda have nothing to do with it; nVidia has lost it's grip on the market, plain and simple. If that's too hard to recognize, there's a PC gaming console called the Phantom that you should invest in...

Anonymous

Looking at the rest of the articles on this site makes me giggle.

SemiAccurate is filled with so much bias it's disgusting.

Fanboys...

Stewox
Offline
Joined: 07/06/2009
Posts: 31

haha nvfail fanboys think it's ATI , yes it is , ATI is and was better. Better screen quality. FPS above 75 doesn't even matter. Plus half of the money nvidia wasted on hyping it self.

ATI propaganda, lol.

So is it ATI's fault that they faked Fermi at the conference? Just think before you say.

Nvidia is like EA and M$ , they have the those noobs and fanboys who are slaves to them , that's why EA sells a lot of crap games, microsoft it's failbox , and Nvidia it's hyped GPUs (all nvidia has got was a better fps , that's it, and FPS doesn't matter at all , but stupid 90% of buyers rely on simple fps benchmarks, even nvidia it self recently admitted they think that FPS is not an important thing anymore)

Anonymous

this is ati propoganda

take a look at the collumn on the right. an ati ad. a list of the "top 5 articles", all five of them bashing nvidia. another ati ad. this guy is tickling his own balls, not reporting news.

Anonymous

ATI Must be worried as if Nvidia are going under

Anonymous

ATI wouldnt do something like this tbh. they are not devious like nvidea. if this was a dig about ATI. it would probably have been formulated by nvidea. but not ati. no sir

Anonymous

Yeah reap the whirlwind NV, managed by muppets, bad management and the recession has all but killed NV off, just got to look at their embarrassing fake fermi press conference to see they are all but done. Look around the web to see that outlets are no restocking cards, ATI will soon have the high-end segment to themselves..LMAO

Anonymous

correction @21:27 (10/06/2009)

Anonymous

@#2: Its obvious you're a NV fanboy... because if you were'nt maybe you wouldn't have lied to yourself when the news came up originally... seriously, people need to stop pretending to themselves that everything is fine an dandy, even though they really know deep down that the company is failing miserabally... *sigh* fanboys...

Anonymous

LOL, hate NVIDIA much?

Try reporting news instead of wanting to be part of it.

Anonymous

Sounds like ATI propoganda to me. No one from the outside can even begin to know how profitable or not the company is - only by the quarterly company reports do we see any of the monies the company has and that is generally an overview at the highest levels.

This is fodder and an unbelievable story at best.

If this was planted by ATI, I would say ATI is running scared based on some of the spec reports of the next gen cards from NVIDIA.

Childish this is.