Margins for automotive are way way better. Nvidia made 400-500 million on Tegra automotive sales because out of the 560 that tegra generates as far as revenue annually, most of it is from automotive. They were included in 2.8 million infotainment centers last year. This means each system generated $142 dollars in revenue which considering the cost to make a tegra chip is a massive margin on such tiny chips.
The problem is Nvidia is spending alot of R and D on the Tegra program which makes it a loss. But gross margins for tegra in cars are fantastic.
If the volume doubles, which could happen in the future, the tegra business could easily become a cash cow like the professional maket.
Sorry, to butt into this conversation, but
Is this post in jest? If not, then I can just picture Colette face palming so hard that it probably made her cry... lol
You may want to re-read what you wrote, carefully, particularly the part about "great margins" followed by "spending so much money that it's a loss".
If someone said this to me, you know, in the real world, they would be on top my sh*t list, until they are far removed from anything remotely resembling OPM ....lol