Cryptocurrency miners help AMD close gap on Nvidia in GPU market

By midian182 · 47 replies
Feb 28, 2018
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  1. Nvidia may have another reason to lament the rise of cryptocurrency mining: it’s knocking down its share of the GPU market while increasing rival AMD’s sales. According to a report from Jon Peddie Research, Nvidia’s market share fell from 72 percent to 66 percent in Q4, while AMD’s share went up from 27.2 percent in Q3 to 33.7 percent.

    Even with the rise in GPU prices caused by cryptomining demand and video memory shortages, many of the red team’s GPUs have remained cheaper than Nvidia’s products while offering almost the same levels of mining performance, resulting in cryptominers snapping up AMD’s cards in bulk.

    Nvidia has continued to do what it can to prioritize gamers over miners when it comes to sales of its GPUs. Last month, it said “For NVIDIA, gamers come first. All activities related to our GeForce product line are targeted at our main audience.” The company added that it was recommending retailers limit the maximum number of cards it sells to miners, though this wasn’t something it could enforce.

    It’s estimated that around three million graphics cards were sold for mining purposes in 2017, equal to about $776 million in sales, but gaming remains the main reason for GPU purchases.

    “Gaming has been and will continue to be the primary driver for GPU sales, augmented by the demand from cryptocurrency miners," said Dr. Jon Peddie, President of Jon Peddie Research. "We expect demand to slacken from the miners as margins drop in response [to] increasing utilities costs and supply and demand forces that drive up AIB prices."

    Recent rumors claim Nvidia will unveil its next-generation of graphics cards at its GPU Technology Conference (GTC) next month. In addition to the new gaming-focused Ampere-based cards, it’s thought the company’s new ‘Turing’ architecture could be used in GPUs designed specifically for mining. If true, these could see gaming card prices drop slightly while increasing their availability.

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  2. HardReset

    HardReset TS Guru Posts: 569   +208

    Now Nvidia fanboys have quite rough time explaining how Vega was a flop :p
     
    Charles Olson and TempleOrion like this.
  3. yRaz

    yRaz Nigerian Prince Posts: 2,559   +1,701


    Those stupid gamers keep making shortages of GPU's for us crypto miners!
     
  4. davislane1

    davislane1 TS Grand Inquisitor Posts: 5,072   +4,127

    They aren't gamers. They're hash hogs.
     
    Charles Olson and Panda218 like this.
  5. Shadowboxer

    Shadowboxer TS Booster Posts: 127   +43

    AMD cards are the best for mining by quite a long way. But they are basically absent to gamers in 2018 it seems, it really doesn’t make sense for a gamer to go AMD. I hope they use some of the revenue made from marketing to make a decent enthusiast gaming card, it’s been years since AMD have made one of those.
     
  6. yRaz

    yRaz Nigerian Prince Posts: 2,559   +1,701

    let me tell you why going AMD makes the MOST sense for gamers. buy 1 card, get quick ROI, buy second card and crossfire it. Both cards pay for themselves while not gaming.

    People seem to be entirely ignorant to the fact that they have this thing in their computer that can make them money. It's like they're doing it out of spite which is ridiculous.
     
    Charles Olson and Jules Mark like this.
  7. MonsterZero

    MonsterZero TS Evangelist Posts: 479   +249

    Not everyone with a computer is out for a quick buck. We're not all criminals doing black market transactions, money laundering, or tax evasion.

    When you have a $3000 computer overclocked, you don't want it running 24/7 burning up all your components.
     
  8. Shadowboxer

    Shadowboxer TS Booster Posts: 127   +43

    What if you’re gaming at 4K? ROI is not quick at all for a 1080ti or Titan XP which are the only cards capable at 4K really. AMD can’t even match a 1080 at 4K. Doesn’t make sense to buy them. Especially as the card costs more than a 1080ti right now.
     
  9. yRaz

    yRaz Nigerian Prince Posts: 2,559   +1,701

    I literally started mining on two 1080TI's and they make me about $200/m each. Each of my 1070ti's makes me about $160/m each
    The majority of crypto transactions are legitimate, the US Dollar is still actually the preferred method for money laundering. And who isn't actually out there trying to make a quick easy buck? do you hate money?

    As far as burning up your hardware, that's myth. As long as you keep it in the proper temperature range there is no evidence to support that running components flat out 24/7 shortens their life span. These aren't cars, you don't put miles on a computer.
     
    Charles Olson and TempleOrion like this.
  10. Shadowboxer

    Shadowboxer TS Booster Posts: 127   +43

    Just out of curiosity, what algorithm are you using to make that much money on a 1080ti? And what rate are you getting? That’s quite a lot more money than I’ve seen anyone make on a 2 card setup.

    I mine on my cards when they aren’t being used for gaming. But with a 4K monitor I’m hardly going to opt for Vega 64 am I now.
     
  11. yRaz

    yRaz Nigerian Prince Posts: 2,559   +1,701

    I use Whattomine.com and I usually switch it up. I'll mine stuff that I think has the most potential in the long run then just hold until I think the price is fair. I started off mining Zcash and Vertcoin. I'm getting about 700h/s on my 1080ti and just over 600 on the 1070's. With Vertcoin I get around 69Mh/s

    I go a step further than just mining, too. I use the idle cores to run crypto trading bots with the mined coins. Making bots is pretty easy but I bought my first one just to reverse engineer it and see how it works.
     
    Charles Olson likes this.
  12. Danny101

    Danny101 TS Maniac Posts: 276   +116

    Right now I'm stuck on either satellite or 3G internet due to being in a rural area. It cost me more in internet costs than I would make to mine Bitcoin. I hope your words are in jest rather than ignorance.
     
    Boilerhog146 likes this.
  13. yRaz

    yRaz Nigerian Prince Posts: 2,559   +1,701

    I would say that your situation is the exception rather than the rule....
     
    Charles Olson and Danny101 like this.
  14. Danny101

    Danny101 TS Maniac Posts: 276   +116

    I have the feeling that Bitcoin will succeed, and it will not remain anonymous indefinitely. It will likely be the tool for world governence and tracking. A Trojan horse if you will for the new world order. I certainly hope I'm wrong, but history shows the quest for domination always remains. I prefer to continue to pitt currency against currency
     
  15. Shadowboxer

    Shadowboxer TS Booster Posts: 127   +43

    I don’t agree with you on that. Just out of curiosity, how exactly do you think it’s going to fail? And as for the tools of the new world order. Bitcoin is their worst nightmare, it’s decentralised and under no ones control.
     
    Charles Olson likes this.
  16. Danny101

    Danny101 TS Maniac Posts: 276   +116

    I said I believe it will succeed and I believe it will become the world currency and the anonymity that people enjoy now will disappear. All things digital is traceable
     
    yRaz likes this.
  17. krizby

    krizby TS Rookie

    Quick look at steam hardware survey and it seems like AMD is slipping into oblivion for gamers as time passes, GTX 1060 owners alone account for almost 2x the owners of all AMD video cards
     
    Darth Shiv likes this.
  18. Darth Shiv

    Darth Shiv TS Evangelist Posts: 1,849   +493

    Have you seen the supply/demand for nvidia cards lately? They are priced at almost DOUBLE what the same line of cards were 2 years ago. That might have something to do with it...
     
  19. Brubble

    Brubble TS Rookie


    By comparison in terms of gaming? It WAS a flop. Its not even debatable in performance and hard numbers.
    By your logic, crytomining sales alone somehow magically make AMD's flagship gpu comparable to Nvidia's flagship gpu?? Once again, SALES dont make it a better stronger, more powerful gpu. Furthermore its safe to assume the majority of gamers dont give a sh*t about mining, they by a gpu for ......thats right, gaming. Very clever you are. SMH.
    I'll buy whatever card is the best, regardless of which company makes it and AMD isnt even worth considering for my money.
     
    Shadowboxer and Boilerhog146 like this.
  20. Darth Shiv

    Darth Shiv TS Evangelist Posts: 1,849   +493

    Apart from the time it WAS under someone's control.
    https://www.nytimes.com/2016/07/03/business/dealbook/bitcoin-china.html
     
    Danny101 likes this.
  21. Dimitrios

    Dimitrios TS Enthusiast Posts: 65   +35

    AMEN!
     
  22. hood6558

    hood6558 TS Evangelist Posts: 329   +92

    IMO, the slight shift in GPU market share towards AMD only shows that they saw the opportunity to sell some GPUs by marketing them to miners, to the detriment of their loyal gaming fan base. Despite their press releases to the contrary, they did nothing to ensure stock was available to gaming customers, and all their recent cards have been very hard to find since launch. This was perhaps a smart financial move by AMD, but certainly at the cost of alienating many of their (previously) rabidly loyal customers. That's why I have to laugh every time someone says that AMD loves their fans and does everything for their customers, unlike those greedy evil NVIDIA scumbags. The only love is for money, on both sides.
     
  23. Dimitrios

    Dimitrios TS Enthusiast Posts: 65   +35

    Sadly the reality is that AMD & NVIDIA will be catering to Miners more and more. DRIVER SUPPORT TEAMS will get smaller and or lazy due from the user base using their GPU's for mining not gaming! THIS WILL BE A FUTURE ISSUE FOR US GAMERS!

    The point is I don't want a GPU that mines awesome but gets cra* framerates, cra* drivers, and a mid range card will be at least $400-$500. I don't want to live in that world!! I would rather spend my money on making my car faster or on other stuff.

    I gotta Milk this AMD RX560 4GB OC card that I bought for $130 last spring for $130 and now goes for almost $200! lol.
     
  24. hood6558

    hood6558 TS Evangelist Posts: 329   +92

    Change is inevitable, but the decline of PC gaming feels like the end of an era. I used to avidly read all the hardware review sites, and get excited when great new products were announced. Think up ways to fit them into my budget. Now, the thrill is gone, and now there's only bad news and outrageous prices. I will also return to my old hobby, spending my cash on car upgrades and such.
     
  25. Foobario

    Foobario TS Rookie

    Have you seen the price of AMD cards??? If not, it might surprise you to discover that they are selling at prices that are even more in excess of MSRP than the Nvidia cards.

    So it isn't higher prices causing Nvidia's share loss. The fact that AMD cards are better at mining and the fact that AMD finally got some GPUs into the channel in Q4 that caused the share gains.

    In Q3 AMD was short on product which is why Nvidia's share moved up .

    Any card at the 580/1060 and above sold in the past five months have gone to miners or complete ***** gamers with more money than sense as paying $550 for a card aimed at 1080P play is plain stupidity.

    The Nvidia BS about limiting cards is moronic considering the cards are priced at levels that no sensible gamer would buy one. I understand that there are morons that are not sensible but they are in the minority.
     
    HardReset likes this.

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