Posted 3/20/2024, 6:12:00 PM
Nvidia to Price New AI Chips Slightly Higher to Balance Market Share and Margins
- Nvidia plans to price latest AI chips modestly higher than current chips to maintain market share vs AMD, others
- CEO Jensen Huang said new Blackwell GPUs will cost $30K-$40K, just above current $20K-$30K Hopper GPUs
- Modest Blackwell pricing seen as positive for NVDA stock by expanding addressable market
- NVDA choosing market share over margins; move negative for rival AMD
- Analysts say NVDA can maintain 70%+ margins even with modest Blackwell price hike on richer mix
