EVGA, which is rightfully considered one of the oldest and leading partners of NVIDIA, has decided on very serious changes. It will no longer do business with NVIDIA and stop releasing its video cards under its own brand. In other words, there will be no more GeForce RTX 40-series gaming video cards, as well as subsequent series by EVGA.
Image Source: EVGA
Leading tech bloggers JayZTwoCents and GamersNexus reported the breakup between EVGA and NVIDIA. They spoke with EVGA CEO Andrew Han and discussed the issues that led to this decision. Also a note on this published analytical agency Jon Peddie Research.
“We will no longer sit on the lap of [главы NVIDIA] Jensen Huang, so I don’t want people to speculate regarding what’s going on and why we’re no longer around. EVGA decided not to release the next generation [графических ускорителей GeForce]»– tech blogger Steve Burke from the GamersNexus YouTube channel quotes Khan as saying.
Significantly, Khan decided to meet with two of the biggest and most popular tech bloggers and explain the situation to them. By the way, he even forbade them until a certain time to publish videos on their YouTube channels in which they will explain the essence of the matter to a multi-million audience in their own words. According to Burke, most of his team didn’t know what the video was regarding until the actual release of the video. And JayZTwoCents initially assumed that at a meeting with the head of EVGA, he might tell exclusive news regarding the brand’s possible collaboration with AMD Radeon. EVGA is already partnering with AMD and releasing motherboards for it, so further development of partnerships and the start of production of Radeon graphics cards might be a logical step. However, another much more shocking message awaited the blogger: EVGA decided to stop making any new video cards.
Portal Tom’s Hardware contacted NVIDIA representatives to comment on the situation.
“Over the years, we have had an excellent partnership with EVGA. We will continue to support them through our current generation of products. We wish Andrew and our friends at EVGA all the very best.”said Bryan Del Rizzo, Director of Global Communications for GeForce at NVIDIA.
It is known that EVGA will continue to provide support for the GeForce RTX 30 series video cards it has released until the stock of accelerators in the company’s warehouses runs out. The same information was confirmed on the official EVGA forum. The manufacturer does not plan to release AMD or Intel accelerators instead of NVIDIA video cards. He decided to focus on the production of other products. Recall that in addition to video cards, the company has produced and continues to produce motherboards, power supplies and various gaming peripherals. In addition, EVGA has held back some inventory of its GeForce RTX 30-series graphics accelerators so that they can be replaced under warranty if the need arises for current customers.
Speaking to JayZTwoCents and GamersNexus, Khan also revealed that he has no intention of selling EVGA. According to GamersNexus’ Steve Burke, EVGA notified NVIDIA management of its decision back in April of this year. Analysts from Jon Peddie Research, in turn, write that NVIDIA received a notification in July. It looks like EVGA did produce a few samples of the GeForce RTX 40 series, but then development was interrupted.
At the moment, nothing is known regarding what will happen to the EVGA employees who worked in the brand’s graphics department. EVGA itself is not a very big company. In a conversation with GamersNexus, Khan promised to take care of the employees. However, it is not yet clear what exactly EVGA engineers will do following the dissolution of the graphics department. According to Tom’s Hardware, EVGA’s Taiwanese office has laid off some employees this summer.
What caused the partnership between EVGA and NVIDIA to end? In both videos, a direct answer to this question is not given. But there are hints that NVIDIA may have “strangled” EVGA’s graphics business. Jensen Huang’s company is sensitive to the issue of disclosure of information regarding its future products, their equipment and recommended cost. NVIDIA’s paranoia reaches such an extent that many of its partners, even such key partners as EVGA, find out all the information at the time of the official presentation of the new product, as JayZTwoCents says in his video. With this approach, it is very difficult for NVIDIA partners to form their business plans.
Another reason may be that NVIDIA literally began to compete with its partners, selling reference versions of GeForce RTX 30-series graphics accelerators in the Founders Edition. Previously, NVIDIA sold reference versions of its video cards only during the first months following the launch of a new generation of accelerators. At this time, the company’s partners increased production, and then NVIDIA removed the Founders Edition versions from store shelves. With the GeForce RTX 3000 series, things happened differently. The company sells reference versions of accelerators throughout their life cycle and at the same time exposes aggressive prices for them.
Consumer: Why buy a $1,400 GeForce RTX 3090 Ti from EVGA when you can buy the reference version for $300 less?
If we consider NVIDIA as a manufacturer and supplier of video cards, then, unlike its partners, it does not need to worry much regarding the amount of profit from the actual sales of accelerators. The main profit is brought to her by sales of graphics processors. At the same time, in a conversation with JayZTwoCents, the head of EVGA mentioned that even at a price of $ 1,400, the GeForce RTX 3090 Ti card is sold at a loss.
In its 23 years of existence, EVGA has devoted 22 of those years to an exclusive partnership with NVIDIA and has earned a reputation for producing some of the most powerful GeForce accelerators. Even the name of the company stands for Extreme Video Graphics Adapter. Now the presence of the VGA abbreviation in it looks strange, since the company no longer produces graphics adapters. According to Jon Peddie Research, EVGA’s solution “will create a huge hole in NVIDIA video card sales in North America”, since it accounts for 40% of the supply of GeForce accelerators. Fans of the brand from Western Europe will not be happy with such news either.
If you notice an error, select it with the mouse and press CTRL + ENTER.
