RTX below 3% margin for Manufacturers, also possible price hike incoming

[pas008]

7 hours ago, Amazonsucks said:

Where are you importing steel from?

we actually didnt really import steel, just random occasions

the tariff allowed for american prices to rise because of it also

use to pay around 35 cents a lb

now closer to 50 cents a lb

52 minutes ago, Brooksie359 said:

Many companies were importing steel from China because it was quite a bit cheaper. Now with the tariffs it isn't worth it and as a result anyone who uses steel in their products and had been importing from China just had their costs go up significantly. This affects a large number of companies in the US and it's ironic because it's hurting alot of US businesses when it was supposed to help. 

exactly, we are currently trying to redesign some products and doing some things different also

[asus killer]

11 hours ago, mr moose said:

Bloody hell, at the end of the day it doesn't really matter what the alleged margins are. Unless they get audited, or you are willing to work your way through their financial statements and glue all the information together, you are not going to know if they are artificially making the margins high for themselves and low for AIB or if it's just par for the course given the current market conditions.

well it matters in the context that the Tech Jesus told it to us. If anyone believes Asus will be doing about 28$ on a 1000$ video card some brains must be checked for serious damages. If it is 8$ on a 300$ card please seek a hospital asap.

[Tech Enthusiast]

3 hours ago, Brooksie359 said:

This affects a large number of companies in the US and it's ironic because it's hurting alot of US businesses when it was supposed to help. 

1

To be honest here:

It is not ironic at all. It is the expected outcome. Nothing else could or will happen.

 

If you put a tax on imports, to force buying in your own country,... stuff does not get cheaper. It just comes from a different source. 

But it is still more expensive by up to the full Tax %.

 

Nothing magic about it, nothing ironic. Just the expected outcome.

[Brooksie359]

37 minutes ago, Tech Enthusiast said:

To be honest here:

It is not ironic at all. It is the expected outcome. Nothing else could or will happen.

 

If you put a tax on imports, to force buying in your own country,... stuff does not get cheaper. It just comes from a different source. 

But it is still more expensive by up to the full Tax %.

 

Nothing magic about it, nothing ironic. Just the expected outcome.

I was saying it's ironic that they put tariffs in place to help the businesses yet the exact opposite happened. It was pretty clear that this would happen but what can you do. 

[IridiumSeeker]

On 9/5/2018 at 9:20 AM, DrMacintosh said:

I mean, if you’re in the market right now, it’s actually a true statement. 

Not true. Likely. 

[SupremeGOAT]

On 9/5/2018 at 5:57 AM, asus killer said:

2.8% margins. I smell bullshit. 

yeaaah you need to enable nasal RTX....

[mr moose]

6 hours ago, asus killer said:

well it matters in the context that the Tech Jesus told it to us. If anyone believes Asus will be doing about 28$ on a 1000$ video card some brains must be checked for serious damages. If it is 8$ on a 300$ card please seek a hospital asap.

Again, you are invested to the point of telling people if they believe this they are mental or need help,  what if the margins are that tight for AIB partners?  Are you going to seek a hospital out?  Lucky for you we will never know.

[cj09beira]

3 hours ago, Brooksie359 said:

I was saying it's ironic that they put tariffs in place to help the businesses yet the exact opposite happened. It was pretty clear that this would happen but what can you do. 

the tariffs thing got a bit out of hand, it should have ended with steel, and maybe some china only tariffs (small) as it makes sense that a country like the Us needs to have its own steel production, and china doesn't play fair at all (could go all day talking about their shit), but now they are distributing tariffs like its Christmas.

anyway even if it was working (no clue if it is we will have to wait and see if local production increases) it would always create a short term price spike, 

[mr moose]

3 hours ago, Brooksie359 said:

I was saying it's ironic that they put tariffs in place to help the businesses yet the exact opposite happened. It was pretty clear that this would happen but what can you do. 

I have a feeling it was done not for the economy but for specific industries.  I refuse to accept that any government would willingly introduce tax/tariff policy that would cause the whole economy to decline (which is what this tariff will do as it has in the past) unless it specifically helps an industry of their choosing.  

[Brooksie359]

16 minutes ago, mr moose said:

I have a feeling it was done not for the economy but for specific industries.  I refuse to accept that any government would willingly introduce tax/tariff policy that would cause the whole economy to decline (which is what this tariff will do as it has in the past) unless it specifically helps an industry of their choosing.  

Oh it helped the steel industry but it hurt the rest of the industry way more. Because alot more companies use steel than companies that make it. 

[spartaman64]

i think nvidia is really trying to kill AIB partners here and take all the profits for themselves. theres no way to make 3% margin sustainable. they have distribution costs, RND costs on custom pcbs and coolers etc etc

[Tech Enthusiast]

5 hours ago, spartaman64 said:

i think nvidia is really trying to kill AIB partners here and take all the profits for themselves. theres no way to make 3% margin sustainable. they have distribution costs, RND costs on custom pcbs and coolers etc etc

Could you elaborate on why NVidia would do this and more important: Why you think they are doing it like this?

 

You know, it is their GPUs. They could just not send any to AIBs if they wanted to "kill them".

Why would they do something like this over just saying: "Hey guys, new GPUs. But the catch is: FE only!".

[Curufinwe_wins]

Also just want to remind everyone that these gpus are the largest ever made. And they are being made on a cutting edge process. The silicon dies alone have to be ludicrously expensive compared to past generations.

 

That said, this doesn't mean nvidia is taking such small cuts.