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Is the price increase justified?Huang Renxun: Moore’s Law is dead, 12-inch wafers are more expensive | TechNews Technology News

Nvidia Corp.’s latest release of the next-generation Ada Lovelace graphics processor (GPU) has sparked complaints from gamers due to price hikes. In response, Huida CEO Jensen Huang said that Moore’s Law is dead, which is why the company had to raise prices.

MarfketWatch and Barron’s reported that Huang Renxun pointed out in a Q&A video press conference on the 21st that Huida’s flagship graphics card “RTX 4090” is priced at $1,599 and is scheduled to be released on October 12. The mid-level graphics card “RTX 4080” is priced at $899 and will go on sale in November.

It is worth noting that the price of the RTX 4090 is 7% higher than the previous generation 3090 graphics card released in 2020, and the price of the 4080 is 29% higher than the previous generation 3080 graphics card released in 2020. Lovelace mainly succeeds the Ampere architecture that came out in May 2020, and the game graphics card based on the Ampere architecture was launched in September 2020.

Regarding the criticism that the price is too high, Huang Renxun said that the increased price is very reasonable, because the Lovelace architecture can support Huida’s entry into the metaverse. He added, “12-inch silicon wafers are a ton more expensive today, not just a ton more expensive.” “Moore’s law is dead, and now you can’t get the same price every half a year. Twice the cost for twice the performance.”

In other words, “the era of chips reducing costs every once in a while is over,” he said. “Computing is not a chip problem, it’s a software and chip problem.”

Moore’s Law was proposed by Gordon E. Moore, founder of Intel Corp. The content is that the number of transistors on a chip doubles every 24 months, providing better performance and cost advantages.

The South China Morning Post reported that Huang Renxun also said on the 21st that he hoped Washington and Beijing authorities could find a solution to the US export control.

Huida had earlier warned that the Biden administration’s ban on the company’s sale of artificial intelligence (AI) chips “A100” and “H100” to China could lead to a loss of $400 million this quarter.

In this regard, Huang Renxun said that Huida is looking for alternatives with Chinese customers. He also said that Huida is ready to work with Chinese partners to move the database of the Metaverse software platform “Omniverse” to the cloud.

(This article is reproduced with permission from MoneyDJ News; source of the first image: Huida)


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