R9 290 Price Rant

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chihlidog

Senior member
Apr 12, 2011
884
1
81
Well I certainly don't agree with some of your opinions, but that's a given on public forums. Your logic at understanding OUR opinion is flawed. AMD better get it together because when this whole mining craze is over and the dust settles, they won't be the ones with the marketshare because their products being overpriced just opened the flood gates to their competitor.

It is not ok for a company who is trying to chase the leader, to sit back and allow their competitively priced msrp, become priced at the same level as their competitor. I like AMD cards for the value to performance ratio, but when priced above what I can get a 780 for, it's a no brainer to walk. This is a common occurrence, especially those who actually choose to be a supporter for AMD who are just simply frustrated with what's happening.

I think it's time for AMD to seriously look at this situation and address it. If they choose not too, well then they deserve to be in the position they are in.

I have to ask, do you think you would last in a board meeting with your responses to supply and demand when the man running the company is asking why the set price msrp isn't being met?

I'm pretty sure you will be packing up your desk and shown the exit.

While I 99% agree with this, I do wanna say for the record, I dont expect AMDs price to be lower for similar performance. That used to be the case and it was great while it lasted. But I'd pay the same or slightly more to stick with AMD. (Well, WOULD have.)Keyword slightly. Not $100, $150 or more.
 
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chihlidog

Senior member
Apr 12, 2011
884
1
81
It's the Retailers doing it, not AMD. Getting a bad taste about AMD from it, while knowing who is really to blame makes no sense.

It's both.

AMD could take action to settle it if they really wanted to. I also take issue with the manufacturers.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
It's the Retailers doing it, not AMD. Getting a bad taste about AMD from it, while knowing who is really to blame makes no sense.

You don't get it, they CAN enforce msrp... But they have chosen not to. If one retailer gets slapped hard for selling above msrp and lose reseller status for that company, others will take note and stop doing it. Yamaha, Denon, Paradigm and Sony have all done this to retailers in the past.

I can understand if this was a limited set of cards built on a premise of small volume , cherry picked cores, etc, but it's not. These are mass produced cards.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
While I 99% agree with this, I do wanna say for the record, I dont expect AMDs price to be lower for similar performance. That used to be the case and it was great while it lasted. But I'd pay the same or slightly more to stick with AMD. (Well, WOULD have.)Keyword slightly. Not $100, $150 or more.

Were on the same page... I was expecting to pay no more then $499 for a badass aftermarket card with a well designed cooler. $399 for reference.. The current pricing is a joke.
 

sandorski

No Lifer
Oct 10, 1999
70,231
5,807
126
You don't get it, they CAN enforce msrp... But they have chosen not to. If one retailer gets slapped hard for selling above msrp and lose reseller status for that company, others will take note and stop doing it. Yamaha, Denon, Paradigm and Sony have all done this to retailers in the past.

I can understand if this was a limited set of cards built on a premise of small volume , cherry picked cores, etc, but it's not. These are mass produced cards.

So what? The demand for these cards is very high, even at these Prices they go out of Stock the moment they hit the shelves.
 

KingFatty

Diamond Member
Dec 29, 2010
3,034
1
81
If that was the case, you wouldn't be finding these cards in the masses across Europe and places like Australia and New Zealand. The cards are in stock there without the mining tax to boot. It's quite irritating to be honest.

I run across more gamers in bf4 with 7xxx cards thn actual r9s. That has to be alarming to anyone at AMD. The ones who do have r9s are the guys who got the reference cards with the bf4 bundle.

Good point, what would it take for someone in Europe to buy cards and resell them to people in the US?

The way I see it, people in the US get cheap electricity, and convert that into cash using AMD cards to mine. But people in Europe or wherever don't have that option because the electricity is not cheap?
 

cmdrdredd

Lifer
Dec 12, 2001
27,052
357
126
Good point, what would it take for someone in Europe to buy cards and resell them to people in the US?

The way I see it, people in the US get cheap electricity, and convert that into cash using AMD cards to mine. But people in Europe or wherever don't have that option because the electricity is not cheap?

A quick search on Amazon UK shows a 290x is roughly $680 US for a reference model Sapphire. Other cards are $700 or more. It appears that the mining tax we see is raising the cards to the prices that are standard in the UK right now.

I don't think it would make much sense to try shipping them here. You can buy a 290x right now for about the same price from a retailer in the US.
 

Vesku

Diamond Member
Aug 25, 2005
3,743
28
86
You don't get it, they CAN enforce msrp... But they have chosen not to. If one retailer gets slapped hard for selling above msrp and lose reseller status for that company, others will take note and stop doing it. Yamaha, Denon, Paradigm and Sony have all done this to retailers in the past.

I can understand if this was a limited set of cards built on a premise of small volume , cherry picked cores, etc, but it's not. These are mass produced cards.

It's not as easy to do that with relatively low cost commodity retail stuff, though. The items that are still relatively controlled by the manufacturer are things like cars, motorcycles, and big appliances or special vendor lock in items like Apple products.

Main way for AMD to lower the retail price is to produce more. TSMC said they had spare 28nm capacity in the Nov-Dec timeframe. If AMD has actively moved to produce more we should see some price drops in a month or two. If we don't see that then AMD will be deliberately hurting themselves in terms of potential market share gains and customer good will.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
So what? The demand for these cards is very high, even at these Prices they go out of Stock the moment they hit the shelves.

lol easy for you to say sitting on a 5xxx card. Let's see you shell out $600+ for a 290 and come back and tell me so what, when that card should of been $150 cheaper IF an aftermarket AIB. Let's see you pay it... You won't because it's wrong and you know it.

And they have been in stock at newegg for weeks now.
 

sandorski

No Lifer
Oct 10, 1999
70,231
5,807
126
lol easy for you to say sitting on a 5xxx card. Let's see you shell out $600+ for a 290 and come back and tell me so what, when that card should of been $150 cheaper IF an aftermarket AIB. Let's see you pay it... You won't because it's wrong and you know it.

And they have been in stock at newegg for weeks now.

No, I don't pay that much for a card, but if I really wanted/needed a card right now, I'd just get an Nvidia card if I had to and not blame AMD for it. There's nothing "Wrong" about this situation.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
Good point, what would it take for someone in Europe to buy cards and resell them to people in the US?

The way I see it, people in the US get cheap electricity, and convert that into cash using AMD cards to mine. But people in Europe or wherever don't have that option because the electricity is not cheap?

Well it won't matter since the conversion from GBP to USD plus any vat's added, it works out to be the same basically.

I'm all for guys like us mining and making a dollar, I get that. What I'm not cool with are these large corps and banks who bought pallets of 290s and X's because of greed for $$$. That's who started screwing this all up. I also question why do FDIC insured banks get to mine for bitcoin? That should be illegal...

Once newegg discovered corporations And banks were buying pallets of these things, that's when they began jacking the pricing ... Other etailers follow what newegg does and they followed suit.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
A quick search on Amazon UK shows a 290x is roughly $680 US for a reference model Sapphire. Other cards are $700 or more. It appears that the mining tax we see is raising the cards to the prices that are standard in the UK right now.

I don't think it would make much sense to try shipping them here. You can buy a 290x right now for about the same price from a retailer in the US.

Yeah, that exactly how it would work out.

It's not as easy to do that with relatively low cost commodity retail stuff, though. The items that are still relatively controlled by the manufacturer are things like cars, motorcycles, and big appliances or special vendor lock in items like Apple products.

Main way for AMD to lower the retail price is to produce more. TSMC said they had spare 28nm capacity in the Nov-Dec timeframe. If AMD has actively moved to produce more we should see some price drops in a month or two. If we don't see that then AMD will be deliberately hurting themselves in terms of potential market share gains and customer good will.

Well AMD can and should do this. You may forget intel used to do this stuff to retailers about selling above msrp back in the late 90s during the pentium 1 days. These guys were losing a lot of sales to AMD because of the pentium markup and they did not like that.

I still don't think this is a yield issue. I think the aib's that are making these things look at market and based on the current marketshare and demand, is a magic number they put into production. I feel that if there truly is a supply issue, it's the aib's under estimating demand. I'm sure these guys are quite aware of the mining craze and radeons are the ones people need.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
No, I don't pay that much for a card, but if I really wanted/needed a card right now, I'd just get an Nvidia card if I had to and not blame AMD for it. There's nothing "Wrong" about this situation.

Well that's where you and I differ and that's fine. I don't expect everyone to agree on my views. However it's no secret AMD is losing a lot of sales to Nvidia strictly because of price gouging and inventory issues. I'm sure AMD would rather have that $150+ profit off their cards from their retailers though.

If you can't agree on that than I'm not quite where you ideals lead.
 

sandorski

No Lifer
Oct 10, 1999
70,231
5,807
126
Well that's where you and I differ and that's fine. I don't expect everyone to agree on my views. However it's no secret AMD is losing a lot of sales to Nvidia strictly because of price gouging and inventory issues. I'm sure AMD would rather have that $150+ profit off their cards from their retailers though.

If you can't agree on that than I'm not quite where you ideals lead.

They don't have the GPUs to sell, so yes, they are losing out on sales. However, that is out of their control.
 

Will Robinson

Golden Member
Dec 19, 2009
1,408
0
0
Well I certainly don't agree with some of your opinions, but that's a given on public forums. Your logic at understanding OUR opinion is flawed. AMD better get it together because when this whole mining craze is over and the dust settles, they won't be the ones with the marketshare because their products being overpriced just opened the flood gates to their competitor.

It is not ok for a company who is trying to chase the leader, to sit back and allow their competitively priced msrp, become priced at the same level as their competitor. I like AMD cards for the value to performance ratio, but when priced above what I can get a 780 for, it's a no brainer to walk. This is a common occurrence, especially those who actually choose to be a supporter for AMD who are just simply frustrated with what's happening.

I think it's time for AMD to seriously look at this situation and address it. If they choose not too, well then they deserve to be in the position they are in.

I have to ask, do you think you would last in a board meeting with your responses to supply and demand when the man running the company is asking why the set price msrp isn't being met?

I'm pretty sure you will be packing up your desk and shown the exit.

The "position" they are in is selling R9 cards hand over fist.....not a bad situation.^_^
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
They don't have the GPUs to sell, so yes, they are losing out on sales. However, that is out of their control.

Sorry, I can't believe this nonsense. Has AMD officially came out and said they can't meet demand because of yields?
 
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Venomous

Golden Member
Oct 18, 1999
1,180
0
76
The "position" they are in is selling R9 cards hand over fist.....not a bad situation.^_^

To the wrong market... There's repercussions that can effect them. People who once purchased your cards no longer can. Supply and gouging tends to place a sour taste in people's mouths... They remember this... People remember things like bad driver experiences, horrid crossfire experiences, etc... Broken promises... These catch up to you...

So when this mining craze ends, your marketshare gets gobbled up by your competitor. You need to stay loyal to your supporters rather than greed boomers. Either way it's going to be interesting to watch.

They have forced me to Nvidia because I can't buy a 290 at a fair price.
 
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DrDoug

Diamond Member
Jan 16, 2014
3,580
1,629
136
I was just thinking that this reminds me of the huge markups dealerships were (and still are) putting on the hot Shelby products that are in high demand. Lots of Ford fans were (and still are ) outraged about this, saying pretty much the same thing that some are saying about this current situation with AMD's video cards. Ford did nothing to stop this and guess what? The cars still sold and Ford still got their money, but others profited handsomely with their markups. True, lots of Ford fans were (and still are) ticked off about this but this is the way our capitalistic system works. Those who had the money were able to pay the painful price and those who didn't, didn't.

MSRP = Manufacturers Suggested Retail Price

That "S" in the acronym means just that, "Suggested" retail. It is not a manufacturer specified maximum retail price, it is only a suggestion and something for consumers to refer to while shopping. Market forces will dictate what the actual final selling price will be and as much as we may hate this it is what it is.

Free markets and all that stuff is what it is. They are free to charge what they can get and we are free to either buy it at the inflated price or pass on it.
 

Venomous

Golden Member
Oct 18, 1999
1,180
0
76
I was just thinking that this reminds me of the huge markups dealerships were (and still are) putting on the hot Shelby products that are in high demand. Lots of Ford fans were (and still are ) outraged about this, saying pretty much the same thing that some are saying about this current situation with AMD's video cards. Ford did nothing to stop this and guess what? The cars still sold and Ford still got their money, but others profited handsomely with their markups. True, lots of Ford fans were (and still are) ticked off about this but this is the way our capitalistic system works. Those who had the money were able to pay the painful price and those who didn't, didn't.

MSRP = Manufacturers Suggested Retail Price

That "S" in the acronym means just that, "Suggested" retail. It is not a manufacturer specified maximum retail price, it is only a suggestion and something for consumers to refer to while shopping. Market forces will dictate what the actual final selling price will be and as much as we may hate this it is what it is.

Free markets and all that stuff is what it is. They are free to charge what they can get and we are free to either buy it at the inflated price or pass on it.

Oh cool another ford fan. I too almost bought a '13 Shelby until they were asking $72k for it. Instead I got a boss below msrp, lol. Keep in mind these cars are built in very small volume, unlike video cards aside from titans and kingpin models.
 

sandorski

No Lifer
Oct 10, 1999
70,231
5,807
126
Well c'mon now... You have been doing this awhile to know, there isn't a supply or yield issue if they don't mention there's one.

They have little control over how many GPUs they have on hand. In case you are unaware, they do not Manufacture their GPUs.
 

3DVagabond

Lifer
Aug 10, 2009
11,951
204
106
To the wrong market... There's repercussions that can effect them. People who once purchased your cards no longer can. Supply and gouging tends to place a sour taste in people's mouths... They remember this... People remember things like bad driver experiences, horrid crossfire experiences, etc... Broken promises... These catch up to you...

So when this mining craze ends, your marketshare gets gobbled up by your competitor. You need to stay loyal to your supporters rather than greed boomers. Either way it's going to be interesting to watch.

They have forced me to Nvidia because I can't buy a 290 at a fair price.


Remember? Really? People's memories are incredibly short. People have already forgotten nVidia's initial pricing on the 780, for example. Instead when they dropped the price to $500 people thought it was a fabulous deal. Not that the day before nVidia was making an extra price gouging $200 each off of us.

Besides, you are only thinking of the people who wrongly blame AMD for market conditions created by the mining craze. Probably some of the same people who blamed AMD for nVidia's prices on Titan and 780 because they didn't offer competition in the "ultra high-end" market.
 
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