Despite the fact that mining crypto-currencies is now experiencing not the best times, NVIDIA continues to make high profits from sale of the equipment and does not expect the decline in profit in the third quarter of 2018.
NVIDIA gets most of its money through high sales in your main market. In addition to the gamers, the iron company as well buy a legal entity: this year popular graphics accelerators designed for data centers. According to the analyst of the research firm Susquehanna Christopher Rolland (Christopher Rolland), the sale of such accelerators will only grow in the near future. In addition, NVIDIA is actively developing in the direction of delivery of the equipment to supercomputers: the chips, the company employs nearly 90 supercomputers.
With regard to the work of the Corporation in the cryptocurrency sector, the forecasts are also positive. Another analyst from Advisory firm Evercore S. J. Muse (C. J. Muse) believes that the business model of the largest manufacturer of equipment will not allow the fall of kriptonyte greatly affect the profitability of the company. Plus, NVIDIA is ready to soon introduce a new generation video card series GTX11, which will provide the company with stable sales for at least the next two years.
The slowdown in mining digital currencies is because, according to the latest data, the cost of mining one bitcoin in many parts of the world much more than the market value of the cryptocurrency. Because of this, the income from such activities is insignificant. However, in spite of the obvious conclusions, the demand for graphic chips remains high, so the price for them grows. NVIDIA’s revenues for the first quarter of 2018 amounted to $3,21 billion, and $289 million, or 9% of this amount, NVIDIA brought the sales of equipment for mining.
It is worth noting that NVIDIA have recently experienced the loss of a major contract: Tesla refused to use the graphics processors in its unmanned cars. The iron producer had previously earned up to $50 million. However, according to NVIDIA CEO Huang Gensure, this amount is not significant to profitability of the company.
In addition to NVIDIA on the market of equipment for mining work and other companies and represent an interesting novelty. A few days ago, Chinese manufacturer Bitmain has shown Wi-Fi routers, mining the cryptocurrency at the time of connection to the Internet.