NVIDIA plans to slash production of their RTX 50 series graphics cards over the next few months. The company wants to keep fewer cards available to stop prices from falling below official retail prices. Team Green already started cutting back last month and will reduce supplies to stores by more than 30 percent during July. Gaming fans struggled for months to find these expensive cards when they first came out.
The graphics card maker does not want their high-end models selling at suggested retail prices anymore. NVIDIA recently released cheaper 60-class and 50-class cards for budget gamers. The company thinks it makes sense to limit supplies of their most expensive models first. Retail stores currently have enough inventory to meet demand for the next little bit.
NVIDIA plans to send the reduced supply to China instead of American and European markets. The company is preparing a special RTX 5090D v2 model just for Chinese customers. They are also working on a new artificial intelligence chip designed specifically for that region. The focus has shifted toward these Chinese market opportunities.
Gaming enthusiasts should expect higher prices if production cuts continue as planned. Current inventory levels will protect consumers from immediate price jumps. The strategy shows NVIDIA believes they can make more money by keeping supplies tight and prices high.
The graphics card maker does not want their high-end models selling at suggested retail prices anymore. NVIDIA recently released cheaper 60-class and 50-class cards for budget gamers. The company thinks it makes sense to limit supplies of their most expensive models first. Retail stores currently have enough inventory to meet demand for the next little bit.
NVIDIA plans to send the reduced supply to China instead of American and European markets. The company is preparing a special RTX 5090D v2 model just for Chinese customers. They are also working on a new artificial intelligence chip designed specifically for that region. The focus has shifted toward these Chinese market opportunities.
Gaming enthusiasts should expect higher prices if production cuts continue as planned. Current inventory levels will protect consumers from immediate price jumps. The strategy shows NVIDIA believes they can make more money by keeping supplies tight and prices high.
