Nvidia has supply problems

Nvidia could be set to have a poor fourth quarter of the year due to supply issues – not the sort of thing you want with the Christmas period a favourite shopping time for hardware enthusiasts.

Analysts have it that Nvidia’s GeForce (GPU), Quadro, and Tesla cards have been down about 10 per cent from the fabrication plants, meaning revenue has also taken a hit. Fudzilla’s report from Susquehanna Financial analyst Chris Caso states that pretty much all of Nvidia’s predictions for this part of the year have fallen flat, with a drop in output from all divisions.

Fortunately for the GPU firm though, big rivals AMD are also suffering from supply issues for its high end graphics cards.

This is hardly the thing system builders want to hear though, as shortages in the hard drive industry to the Thai flooding have led to big price increases for the larger storage volumes, making it often cheaper to stick an SSD in than go with a traditional terrabyte drive. Reducing supply of GPUs could lead to further price hikes for full gaming systems.

Still, with the next generations of cards set to land in the first quarter next year, most will be waiting a couple more months for their new graphics card purchase so the impact of these shortages shouldn’t be too hard felt by consumers.

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