As expected, there are a lot of ill-informed responses here. First of all, to all of those who say it's because ATI is beating them because of the high end 4800 series cards, here are some facts for you to cull on: a) the 4800 cards were only available in the last month of Q2, b) in the price ranges that actually contribute the most to sales ($75-150) Nvidia is the undisputed leader.
Also, who said ATI is having a rosy time either? Apperently "The value of AMD's purchase of ATI Technologies Inc also declined..." meaning the video hardware company is bleeding money for AMD.
http://infotech.indiatimes.com/articleshow/3357165.cms
mysterylobster
nVidia poured TONS of their money into the release for the GTX280.
That was their big release for the Quarter. It had been a while since their last release so sales were diminishing. They needed a new product to drive sales, otherwise they would not be doing nearly as well.
And then the GTX280 got DESTROYED by ATi's offerings.
Anyone who was thinking about buying a GTX280 held off for the 4870.
So it is only logically to believe that by getting their ***es kicked by ATi, nVidia wouldn't make as much money.
As for ATi "bleeding money" for AMD....
No **** They were getting completely destroyed before the 4800 came out. The 2000 series was a flop, the 3000 series was a flop. ATi went 2 and a half years without releasing a quality card. No **** their value went down.... The market doesn't support 2 companies at the same time. It never has. It is always a back and forth of companies outdoing their competition. And sales follow whoever is the winner. nVidia was the winner for 2 years. Now ATi is the winner.
in 2007, when nVidia was the big winner, nVidia was named Forbes Top Company of 2007.
And in terms of revenue, it is actually the mid-range cards that provided the most money. The $75-100 cards have lower profit margins and the integrated GPU's have even less profits because they have to be built into the motherboards, which means they take up more materials and and need more time.
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