54.4% Margins - Nvidia

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Fx1

Golden Member
Aug 22, 2012
1,215
5
81
The executive bonuses are a drop in the bucket compared to the total operating costs. What happens to a business when they cut profit margins to near 0%? If they have a bad year, they go out of business. This is a record year, and they made 15%, that is not gouging. It is how you stay in business.

They only have to report top level executive pay.

Trust me there are far more on the gravy train.
 

bystander36

Diamond Member
Apr 1, 2013
5,154
132
106
Here is where your money is going!

Executive pay -

2009 - $7,443,789

2013 - $11,782,483

Share price still in the same $12-16 region it was in 2009!

So basically they are paying themselves 50% more than 4 years ago despite not delivering any additional value to shareholders...

They pulled in a billion dollars in one quarter. That's roughly 4 billion a year. How many executive bonuses does it take to make that a large percentage of the pie?
 

Fx1

Golden Member
Aug 22, 2012
1,215
5
81
They making 15% because all this money into R&D to bring new products to the market. They are not like AMD who spending your money Fx1 to game developers.

Haha..

Naive.

Id prefer game devs got some money
 

blastingcap

Diamond Member
Sep 16, 2010
6,654
5
76
Good point. That's another facepalm on AMD's part calling HD7970 refresh HD7970 GE instead of HD7980.

Agreed. A third facepalm is somehow calling Tahiti LE 7870 XT. Really, AMD? Really? The proper name would be something like HD 7930 but noooo. Nobody but geeks know that 7870 XT is really Tahiti; most people look at the numbers 7870 and assume it's Pitcairn. AMD makes good stuff but their marketing people need to be flogged or something.

I have no problem with people who like Nvidias products or AMD's. Heck i go back and forth myself all the time. But there definitely is something fishy when people start cheering about higher prices and more profits. The only people who like those things are people with a vested interest. Even basic shareholders aren't invested enough to want higher prices and more profits. Since shares are rarely influenced by profits made last quarter. Share prices are normally forward looking.

So basically HANDS UP... Who's on the Nvidia Payroll?

FX1, why don't we focus on YOU for a moment. So who do you work for, AMD or Intel? How much free stuff has AMD been giving you to post this garbage thread?

Yeah so it doesn't feel so good to be on the wrong end of a witch hunt, right? It work both ways. Just shut it already.

Although maybe you are actually an NVDA shill... you keep talking about NVDA's high profits and in a way you're actually pumping up the stock. And you are such a rude and offensive poster that you may be trying to make anti-NVDA people look bad. Brilliant move, NVDA, hire someone to purposefully be such a bad troll that people actually feel bad for NVDA and at the same time get to hear over and over again how much money NVDA makes.
 
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Fx1

Golden Member
Aug 22, 2012
1,215
5
81
Agreed. A third facepalm is somehow calling Tahiti LE 7870 XT. Really, AMD? Really? The proper name would be something like HD 7930 but noooo. Nobody but geeks know that 7870 XT is really Tahiti; most people look at the numbers 7870 and assume it's Pitcairn. AMD makes good stuff but their marketing people need to be flogged or something.

FX1, why don't we focus on YOU for a moment. So who do you work for, AMD or Intel? How much free stuff has AMD been giving you to post this garbage thread?

Why would i work for AMD.
 

Fx1

Golden Member
Aug 22, 2012
1,215
5
81
Agreed. A third facepalm is somehow calling Tahiti LE 7870 XT. Really, AMD? Really? The proper name would be something like HD 7930 but noooo. Nobody but geeks know that 7870 XT is really Tahiti; most people look at the numbers 7870 and assume it's Pitcairn. AMD makes good stuff but their marketing people need to be flogged or something.



FX1, why don't we focus on YOU for a moment. So who do you work for, AMD or Intel? How much free stuff has AMD been giving you to post this garbage thread?

Yeah so it doesn't feel so good to be on the wrong end of a witch hunt, right? It work both ways. Just shut it already.

Although maybe you are actually an NVDA shill... you keep talking about NVDA's high profits and in a way you're actually pumping up the stock. And you are such a rude and offensive poster that you may be trying to make anti-NVDA people look bad. Brilliant move, NVDA, hire someone to purposefully be such a bad troll that people actually feel bad for NVDA and at the same time get to hear over and over again how much money NVDA makes.

Wow what a load of BS you just posted.
 

wand3r3r

Diamond Member
May 16, 2008
3,180
0
0
Good point. That's another facepalm on AMD's part calling HD7970 refresh HD7970 GE instead of HD7980.

Agreed. A third facepalm is somehow calling Tahiti LE 7870 XT. Really, AMD? Really? The proper name would be something like HD 7930 but noooo. Nobody but geeks know that 7870 XT is really Tahiti; most people look at the numbers 7870 and assume it's Pitcairn. AMD makes good stuff but their marketing people need to be flogged or something.

These are good points.

I still don't understand why they don't even bin a few chips and put out a 1.1GHz which boosts to 1.15GHz chip or even higher and call it a 7980.

Apparently they are busy courting Sony and MS? Maybe one of them will buy them out.
 
Nov 7, 2000
16,403
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no troll, this truly is how socialists have been trained to think.

they hate success, and they hate the free market.
 

Lonyo

Lifer
Aug 10, 2002
21,938
6
81
no troll, this truly is how socialists have been trained to think.

they hate success, and they hate the free market.

Nothing to do with socialism, just a case of not understanding the business they are complaining about.
Like WHY NV has record margins (hint: it's mainly due to product mix).
 

Fx1

Golden Member
Aug 22, 2012
1,215
5
81
Nothing to do with socialism, just a case of not understanding the business they are complaining about.
Like WHY NV has record margins (hint: it's mainly due to product mix).

Its mainly due to small die GPU's on 28nm process being sold for higher prices than 90nm GPU's


Also all that profit has funded an entire ARM soc licence and development team. Which is of zero benefit to the GPU customer. But Nvidia customers have paid for it.
 
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wand3r3r

Diamond Member
May 16, 2008
3,180
0
0
Pretty sure 28nm costs more than 90nm but it's ok, it's just a small piece in a ever increasing puzzle.

On a sq. mm cost I doubt it, but without any source it's only speculation. They whine about costs but have record profits. (cost +5%, profit +200% )

Do you have a source?
 

ElFenix

Elite Member
Super Moderator
Mar 20, 2000
102,358
8,447
126
From 90nm+ GPU's down to 28nm GPU's prices should have come down with the rest of the electronics inside a PC.

Graphics cards have continuously increased in price. a 90nm chip means A LOT less chips per wafer and less profits and perfect GPU's. Today a wafer can produce many more chips and a whole range of different chips at different price points.

Where things like CPU's and SSD's have dropped in price. GPU's have got more expensive as they have become cheaper to produce.

I guess we are suckers.

THat would be true if transistor count didn't increase dramatically with every shrink.
 

Keysplayr

Elite Member
Jan 16, 2003
21,209
50
91
I would not post here if I were you.
You know that everyone on this forum who buys nvidia card is paying for their card and partly for freebies going to people in nvidia focus groups.

Yeah, and that includes me when I buy Nvidia cards. I buy far more of them than I receive from NV dude. So, can I post here now? LMAO.
 

BallaTheFeared

Diamond Member
Nov 15, 2010
8,115
0
71
On a sq. mm cost I doubt it, but without any source it's only speculation. They whine about costs but have record profits. (cost +5%, profit +200% )

Do you have a source?

Simple logic and the Nvidia slides that have been floating around for a few years.



Fab gets more costly the lower you go, R&D gets more costly the higher you go.
 

wand3r3r

Diamond Member
May 16, 2008
3,180
0
0
Simple logic and the Nvidia slides that have been floating around for a few years.



Fab gets more costly the lower you go, R&D gets more costly the higher you go.

Typical marketing slide, the bottom is 100% and the top 101% of the cost.

I agree the costs of R&D, and fabs themselves go up, but considering that you can get smaller chip etc. I take a marketing slide with an ocean of salt.
 

Fx1

Golden Member
Aug 22, 2012
1,215
5
81
THat would be true if transistor count didn't increase dramatically with every shrink.

Yes but look at the 680 GTX die size versus the 580 GTX die and ask yourself how much profit Nvidia is making from the smaller die.

40% smaller die size which means 40% more chips per wafer.
 

Fx1

Golden Member
Aug 22, 2012
1,215
5
81
Typical marketing slide, the bottom is 100% and the top 101% of the cost.

I agree the costs of R&D, and fabs themselves go up, but considering that you can get smaller chip etc. I take a marketing slide with an ocean of salt.

They also forget that DDR5 prices have plummeted and so have other components. Not forgetting the cheap caps that have been used as of late.

Also today there are so many spare chips per wafer they have a GPU at every price point.

Lets not forget that Tesla customers pay through the teeth so the R&D should be offset
 

wand3r3r

Diamond Member
May 16, 2008
3,180
0
0
They also forget that DDR5 prices have plummeted and so have other components. Not forgetting the cheap caps that have been used as of late.

Also today there are so many spare chips per wafer they have a GPU at every price point.

Lets not forget that Tesla customers pay through the teeth so the R&D should be offset

Nvidia doesn't make any of that. Their partners do.

I could guess they have calculated that the partner makes a certain percentage and they charge what they want to make it fit. It's still just guesswork. If the costs to the partners drop over a cards lifetime then yes they can probably get the difference.

Regardless, the extra chips and tesla costs (2 of the 4) are NV.
 
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