Price of AMD Radeon RX Vega is sky high, reaching more than 1000 euros in some places in Europe. Despite AMD’s attempt to have sufficient stock of Radeon RX Vega, there has not been enough stock for the suppliers to cater the strong demand. A filtered invoice from a dealer shows that they have paid $ 675 for each one. If the price that AMD ruled for these was $ 499, it means that the stores should have bought them from distributors for about 300, less than half of what they are actually being charged. Of course, if a store pays $ 675 for a Radeon RX Vega 64, it will have to sell for about $ 900, and that’s just to cover taxes and earn a 10% profit margin.
What AMD can do is work more closely with its assemblers to significantly increase the production of graphics cards, so prices can stabilize again. Of course, this is a bet that could be risky because it might not work, given that on the one hand it could put more graphs in the hands of users at the prices it promised, but on the other could lead to the creation of more crypto mining rigs for mining komodo, ethereum, zcash and so on.
Check out RX Vega water block
There is a third option that AMD could try, although it is unlikely to happen: to release versions of the Radeon RX Vega 65 and 56 that are made for crypto miners in mind. This is what the Asus did back in June when the crypto miners were eating the stocks of GTX 1060. They released Asus P106-G GPU that was GTX 1060 minus display ports. These would come without video outputs. Doing this will leave some for the gamers and professionals who have better things to do.
The Radeon brand and AMD’s prestige are being threatened with this whole issue. The problem is that if AMD sells graphics to its distributors at a price, and then they decide to triple or quadruple it, the only person suffering in the end would be end user.
August 24, 2017
| Technology News