AMD Prepares New "Raise The Game" Bundle - Rushing to Counter Falling Card Prices
As retail video card prices drop back down to more normal prices following 18 months of cryptocurrency-fueled madness, AMD and its partners are quickly finding themselves with a new concern: AMD video card prices are dropping too much. As Ethereum mining profitability has plummeted, so has the price on video cards, especially the highest margin cards at the high-end of AMD’s product stack. As a result, the company is undertaking a rapid effort to shore up video card prices by bringing back game bundles with a new Raise The Game campaign.
The tried and true tool for boosting the value of video cards in slower times, game bundles are a favored tactic of video card makers to improve the value of their product, allowing them to improve their competitiveness or value to the consumer without changing the hardware itself. With the street value of a new AAA PC game going for $60 – and video card makers paying far less than that via bulk purchases and in-kind advertising – video game bundles are a relatively cheap way to boost the value of a product or otherwise stave off a more painful price cut. And while game bundles are a common fixture in more normal times, there hasn’t been a need for them in the past year as video cards have been quickly selling out without the additional help.
But as normalicy returns to the video card market and demand for new cards from miners has all but dried up (Ethereum mining profitability is now back to its pre-2021 levels), video card sales have dropped significantly. And so have their prices: in the last 2 days alone, the cheapest Radeon RX 6900 XT on Newegg has dropped from $949 to $849, which now puts it a good $150 below AMD’s original MSRP.
from AnandTech https://ift.tt/b8YGIau
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