Originally Posted by Lee Patekar
Anyone who buys something at inflated prices will feel compelled to justify the cost. Basic human nature and a major part of the console vs pc never-ending arguments.
Yes because Maxwell was such a leap over Kepler, and Pascal is such a leap over Maxwell. Perhaps Volta is truly a new architecture instead of a refresh with minor improvements. We'll see.
You didn't answer the original argument to your post. That being you have to criticize AMD if your going to criticize Nvidia about the pricing increase that generation.
The basis of the argument is AMD also increase the price of their chip the same way as Nvidia did and they fired the first shot. This is true. You cannot make your original statement without dinging AMD. The 7970 was not that much bigger than a gtx 680. And it wasn't the only high priced chip relative to the die size. Let me remind you AMD charged $350 for a 211mm2 pitcairns chip in the 7870. That's smaller than polaris!!! That makes today's pricing look angelic beside the titan series.
That is more expensive than any chip today when you consider how small of a performance jump it was relative to the 6970 and gtx 570 and how small the chip was.
There was no justification for the price increase. The 7870 was something like 5-10% faster than a gtx 570, a card that launched at $350. There was no shift in the pricing dynamics and you didn't see the extreme fall of pricing. This just showed how expensive AMD launched this series.
The second image is from AMD BTW.
And you can't justify it with the increase in cost with 28nm wafers. There was still a big drop in cost per transistor. Compare this to the cost per transistor at 14/16nm(no savings). What the same cost per transistor shows is that per the die area, not taking yields into account, when transistor density doubles, cost per area also doubled. Hence if there was any time for cost per die to increase, it's this one. Not 28nm.
Taking this into account, how can you explain polaris can be sold for 200 to 240, but the 7870 was selling for 350 dollars on a much cheaper node. It was an overpriced chip and add in this was an AMD card and people just didn't want to get it.
What made this move both incredibly stupid compared to what Nvidia is doing now was Nvidia was on the verge on launching their own cards against AMD 7xxx series. This means price to high and people will wait and people did. Nvidia launched cards with better performance, cheaper and were more efficient. Add in Nvidia still had brand value at the time and AMD lost all it's good will it built up during the 4xxx and 5xxx and 6xxx generation. AMD marketshare collapsed.
With Nvidia this generation, AMD essentially said it was not releasing cards in the high end. So with this knowledge in your hand and knowing you won't have competition for a year, what would you do when you consider your the brand leader in the marketplace?
While the founders edition was a despicable move, it wasn't much different than the 7970 and 7870 pricing. And there was still options for cheaper variants 1080/1070. Considering the lack of competition, the none FE editions pricing would be actually generous. The 1070 in particular. The 1070 brought 650 dollar card performance down to $379. Something only the r9 290 managed last generation. The 1070 was probably the card that made AMD price their rx480 pricing the way they did and why we are not getting much of a price drop with the rx580.Edited by tajoh111 - 4/17/17 at 1:29am