Final Words

Today's launch is strange. I tried to convince NVIDIA to release more information about Fermi but was met with staunch resistance from the company. NVIDIA claims that by pre-announcing Fermi's performance levels it would seriously hurt its existing business. It's up to you whether or not you want to believe that.

Last quarter the Tesla business unit made $10M. That's not a whole lot of money for a company that, at its peak, grossed $1B in a single quarter. NVIDIA believes that Fermi is when that will all change. To borrow a horrendously overused phrase, Fermi is the inflection point for NVIDIA's Tesla sales.

By adding support for ECC, enabling C++ and easier Visual Studio integration, NVIDIA believes that Fermi will open its Tesla business up to a group of clients that would previously not so much as speak to NVIDIA. ECC is the killer feature there.

While the bulk of NVIDIA's revenue today comes from 3D graphics, NVIDIA believes that Tegra (mobile) and Tesla are the future growth segments for the company. This hints at a very troubling future for GPU makers - are we soon approaching the Atom-ization of graphics cards?

Will 2010 be the beginning of good enough performance in PC games? Display resolutions have pretty much stagnated, PC games are first developed on consoles which have inferior hardware and thus don't have as high the GPU requirements. The fact that NVIDIA is looking to Tegra and Tesla to grow the company is very telling. Then again, perhaps a brand new approach to graphics is what we'll need for the re-invigoration of PC game development. Larrabee.

If the TAM for GPUs in HPC is so big, why did NVIDIA only make $10M last quarter? If you ask NVIDIA it has to do with focus and sales.

According to NVIDIA, over the past couple of years NVIDIA's Tesla sales efforts have been scattered. The focus was on selling to any customers that could potentially see a speedup, trying to gain some traction for the Tesla business.

Jen-Hsun did some yelling and now NVIDIA is a bit more focused in that department. If Tesla revenues increase linearly from this point, that's simply not going to be enough. I asked NVIDIA if exponential growth for Tesla was in the cards and if so, when would it happen. The answer was yes and with Fermi.

We'll see how that plays out, but if Fermi doesn't significantly increase Tesla revenues then we know that NVIDIA is in serious trouble.

The architecture looks good, Fermi just needs to be priced right. Oh and the chip needs to hurry up and come out.

The RV770 Lesson (or The GT200 Story)
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  • PorscheRacer - Thursday, October 1, 2009 - link

    I have no clue what the red rooster thing implies, and I never understood why people called nVIDIA the green goblin. Until now. You, sir, have made it clear to me. They are called the green goblin, because that's where the trolls come from. Like wow. Your partisan and righteous thinking has no merit, no basis except conjecture and criticism. Save a keyboard, chill out and let's see if you can post anything in here without using the words, nVIDIA, ATI, red rooster, green goblin, and anything with ALL CAPS.

    It's fine to be passionate about something. But to exessive extents that push everyone else away and leave people ashamed, discouraged and embarrased; that's not how to win hearts and minds. I can already see you getting riled up over this post telling you to chill out....
  • SiliconDoc - Friday, October 2, 2009 - link

    Hmmmm, that's very interesting. First you go into a pretend place where you assume green goblin is something "they call" nVIDIA, but just earlier, you'd never seen it in print before in your life.
    Along with that little fib problem, you make the rest of the paragraph a whining attack. One might think you need to settle down and take your own medicine.
    And speaking of advice, your next paragraph talks about what you did in your first that you claim noone should, so I guess you're exempt in your own mind.
  • kirillian - Thursday, October 1, 2009 - link

    Yall...seriously...leave the poor NVidia Fanboy alone. His head is probably throbbing with the fact that he found his first website (other than HardOCP) that isn't extremely NVidia biased.
  • SiliconDoc - Friday, October 2, 2009 - link

    Gee, I find that interesting that you know all about bias at other websites...
    So that says what again about here ?
  • silverblue - Thursday, October 1, 2009 - link

    The 5870 is but one single GPU. The 295 is two and costs more. The 4870X2/CF is also a case of two GPUs. A 5870X2 would annihilate everything out there right now, and guess what? 5870 CF does just that. If money is no object, that would be the current option, or 5850s in CF to cut down on power usage and a fair amount of the cost without substantially decreasing performance.

    By stating "if someone wants to get their next-gen performance now", of course he's going to point in the direction of ATI as they are the only people with a DX11 part, and they currently hold the single GPU speed crown. This will not be the case in a few months, but for now, they do.
  • SiliconDoc - Friday, October 2, 2009 - link

    I kinda doubt the 5870x2 blows away GTX295 quad, don't you ?
    --
    Now you want to whine cost, too, but then excuse it for the 5870CF. LOL.
    Another big fat riotous red rooster.
    Really, you people love lies, and what's bad when it's nvidia, is good when it's ati, you just exactly said it !
    ROFLMAO
    --
    Should I go get a 295 quad setup review and show you ?
    --
    How come you were wrong, whined I should settle down, then came back blowing lies again ?

    There's no DX11 ready to speak of, so that's another pale and feckless attempt at the face save, after your excited, out of control, whipped up incorrect initial post, and this follow up fibber.

    You need to settle down. "I want you banned"
    Finally, you try to pretend you're not full of it, with your spewing caveat of prediction, "this will not be the case in a few months" - LOL
    It's NOT the case NOW, but in a few months, it sure looks like it might BE THE CASE NO MATTER WHAT, unless of course ati launches the 5870x2 along with nvidia's SC GT300, which for all I know could happen.
    So, even in that, you are NOT correct to any certainty, are you...
    LOL
    Calm down, and think FIRST, then start on your rampage without lying.
  • silverblue - Friday, October 2, 2009 - link

    My GOD... you're a retard of the highest order.

    Why would I want to compare a dual GPU setup with an 8 GPU setup? What numpty would do that when it would logically be far faster? Even a quad 5870 setup wouldn't beat a quad 295 setup, and you know what? WE KNOW! 8 cores versus 4 is no contest. Core for core, RV870 is noticeably faster than the GT200 series, but you're the only person attempting to compare a single GPU card to a dual GPU card and saying the single GPU card sucks because it doesn't win.

    And where did I say "I want you banned"? As someone once said, "lay off the crack".
  • SiliconDoc - Friday, October 2, 2009 - link

    Aren't you the one who claimed only ati for the next gen performance ?
    Well, you really blew it, and no face save is possible. A single NVIDIA card beats the best single ati card. PERIOD.

    It's true right now, and may or may not change within two months.
    PERIOD.
  • silverblue - Friday, October 2, 2009 - link

    No, I said that ATI currently has the single GPU crown. Not card - GPU. In a couple of months, ATI may have the 5870X2 out, and that WILL send the 295 the way of the dodo if it's priced correctly.

    No face saving necessary on my part.
  • Zaitsev - Wednesday, September 30, 2009 - link

    ^^LOL. I don't see what all the bickering is about. If you're willing to wait a few more months, then you can buy a faster card. If you want to buy now, there are also some nice options available. Currently there are 5 brands of 5870's and 1 5850 at the egg.

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