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GPU sales down to Cryptocurrency miners' healthy: AMD CEO

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GPU manufacturers Nvidia and AMD both profited from massive sales last year, thanks in part to miners who buy GPUs for my crypto-currencies. However, these sales are down.

Demand for GPUs continued to increase as the value of cryptocurrencies increased throughout 2017. But after market capitalization reached an all-time high of $ 830 billion, the market s & # x 39 is collapsed. The demand for mining also cooled, as it was not as lucrative for a few months when cryptocurrency prices jumped.

AMD reported a business turnover of $ 1.65 billion for the first quarter of 2018 and stated that 10% of this figure came from GPU sales to miners. Nvidia, on the other hand, reported revenues of $ 3.21 billion, and $ 289 million (9% of their total revenue) came from sales to minors.

Although companies have had massive sales in the cryptocurrency industry, they do not want to grow. Both companies want their GPUs in the hands of consumers for games and research rather than for minors.

Jensen Huang, the CEO of Nvidia, said:

"The reason they bought [GPU cards] is for the game, but while they are not games; while they are at school, at the work or in bed, they will turn it on and do some extraction.There is nothing wrong with that. "

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AMD and Nvidia both experienced significant growth as a result of the rise in cryptocurrency activity in the United States. Last year, but each expects a setback.

The two companies are now waiting for their miners' incomes to fall in the coming months, but this is not necessarily because they believe that the cryptocurrency market ignites.

Bitmain, the largest application-specific integrated circuit mining (ASIC) manufacturer, announced the ASIC miners for Ethereum last month. Ethereum is the most popular cryptocurrency exploited on GPUs, and once the Ant1er Ant3er is released, it could make existing GPU miners useless.

But Bitmain was gaining ground even before announcing the Antminer E3. Last year, Nvidia recorded a profit of $ 3 billion, which includes all its products, such as cloud computing and AI chips. Bitmain has achieved operating profit of nearly $ 4 billion, selling only ASIC miners.

Lisa Su, CEO of AMD, is optimistic about the blockchain and does not think it will go away. It expects mine GPU demand to fall by two-thirds in the second quarter. However, she is not worried about the decline in sales and calls it "healthy" for the company.

Commenting on GPU cryptographic demand, Lisa Su stated:

"I think the blockchain infrastructure is here to stay.I think there are many currencies.Many applications use blockchain technology.We do not see any significant risk of Used GPUs on the market.I think what you find is that, first, there are a number of different currencies, and, two, many users who buy GPUs these days actually buy them for multiple use cases, commercial and consumer. "

Nvidia and AMD have both accepted the fact that crypto-currencies and blockchain are here to stay. Both companies have adopted these new technologies, but they are not concerned either if the revenues from these sales fall in the near future.

Image from Shutterstock

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