NVIDIA Expects 1 Billion of Potential Customers in Several Years
David White, CFO of NVIDIA
NVIDIA said earlier this week that in several years there will be about one billion of gamers worldwide, which means those people will become potential customers of NVIDIA.
“[According to a market intelligence], [over 200] million people were online playing games [as of 2008] and that audience is supposed to grow at 21% compound annual growth rate. So, if you do the math, in a few short years NVIDIA’s addressable market just for video gamers will be a billion of people. Some of them will remain casual gamers and some of them will become enthusiast gamers and that is ultimately a market we can always sell to,” said David White, Chief Financial Officer of NVIDIA, at Barclays Technology Conference.
Of course not all people play online games with PCs that feature discrete graphics cards, but NVIDIA has managed to expand its product line to mobile devices such as Sony PlayStation 3 and Microsoft Zune HD. Therefore, the popularization of video games in general potentially means additional revenue for the company.
NVIDIA is convinced that the market of video games will continue to grow, even amid the global economic slowdown.
“A lot of people around the world play video games. [Games] are part of their lifestyle. In hard times people play more games because they cannot afford to go out. It has always been an important segment for us, it is a cornerstone of NVIDIA. It is a good indicator that more and more people play games every day. [...] Realistically, if you look at the dynamics of online gaming, if you look at the age children play at this games, it is getting younger and younger. For NVIDIA [it means] increase of the installed base; ultimately, the addressable market is going to be bigger,” said Mr. White.
December 12th, 2009 at 6:11 pm
They also have potential to become 1 Billion AMD customers, did you think about that Nvidia? AMD are whipping Nvidias arses in terms or technology & advencment so it’s more likely that in a few years AMD will bit that further ahead of Nvidia
December 13th, 2009 at 3:48 am
“NVIDIA has managed to expand its product line to mobile devices such as Sony PlayStation 3″
Mobile as in backpack with PS3 and car battery? lol
December 13th, 2009 at 4:53 am
The Huyton Polar Bear: you’re full of shit. Whipping their asses? Bahaha…where the fuck did that come from? The GTX 285 crushes ATI’s same-generation GPU’s by a wide margin, not to mention they can be useful and actually Fold for projects like Folding@Home. The next generation will continue to dominate ATI with Fermi and beyond. Bottom line: NVIDIA always has been the biggest innovator in graphics technology and will continue to do so in the future.
December 13th, 2009 at 5:10 am
@Someone: I suppose you aren’t one of those ATi-fanboys
Well, perhaps it’s a good expectation but you have to take into account that NVidia has more than desktop gpu’s to offer. How about e.g. server computing and the Tegra SoC. NVidia previously said that 50 percent of its revenue comes from embedded devices. And maybe it’s good that the Fermi is delaying. Who knows how big and good this card will be (if it ain’t vaporware of course). Maybe it’ll be the biggest ass card ever known to mankind….or maybe not. Until then I’d rather choose the red side because at this moment ATi kicks ass!
December 13th, 2009 at 5:58 am
@someone: the gtx 285 is on par with ati’s 5850 (actually is slower by a few frames*), but costs a lot more ($310 vs $350 @ newegg). so i’m not sure what you’re talking about, unless you are trying to compare the 285 to the 4890? in which case, yea the 285 is faster, but nearly $200 more expensive. it’s not an apples to apples comparison there.
* results from anandtech, tech report and hot hardware.
December 13th, 2009 at 5:59 am
actually, i was wrong…the cheapest gtx 285 at newegg costs $360.
so there you go, pay $50 more for the same performance without dx 11.
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