Has AMD Reduced RX Vega Supply & Prioritized Frontier Edition?
Has AMD Reduced RX Vega Supply & Prioritized Frontier Edition?
2018-01-29
welcome back to harbor unboxed today's
video is based on an interesting topic
but ultimately for consumers it doesn't
really mean all that much so I hope to
have you intrigued I recently came
across some information regarding AMD's
Radeon rx Vega GPUs I don't want to
share and explain what I think it means
after having a bit of a think so just
quickly AMD released the Vega 56 and 64
graphics cards back in August of last
year some five months ago now at the
time they sold out in seconds and since
then supplies been unable to meet the
demand and miners are mostly to blame
for this there was also some pricing
controversy regarding rebates just days
after release but I think that's been
proven to be inaccurate now as they were
briefly available in November at the
MSRP before supply once again ran out in
spite of poor availability a good many
of you have been pressuring me to review
a custom rx Vega graphics card from one
of AMD's partners this is likely due to
the fact that I keep openly bashing
AMD's reference design claiming it's hot
loud and you shouldn't buy it
numerous custom design models have been
announced now but getting your hands on
one is next to impossible I myself can't
even get one despite AMD stating they're
willing to support me directly I've been
told for months now they're coming that
was until last week when two of AMD's
board partners told me they're no longer
coming at all this all had me a bit
confused and after making a few more
inquiries it was confirmed by one
exclusive partner and one massive
partner that the custom models had
effectively been cancelled as they were
no longer receiving Vega 56 or 64 GPUs
from AMD and this meant even the
reference design AMD models weren't
being supplied so no Vega graphics cards
were being sold by their of these
partners I thought that can't be right
and began digging a little more first I
decided to see who actually has rx Vegas
stock and what models slash brands are
in supply so I popped over in yo egg and
found well nothing they did list some
custom gigabyte models at insane asking
prices with no stock along with a single
power color model also out of stock and
a
reference model solved by XFX which was
also out of stock what was in stock was
the Vega frontier Edition and I'll come
back to that shortly
every other us-based retailer I checked
and there was more than a dozen I looked
into also showed zero stock for the Vega
56 and 64 graphics cards then hopping
over to the local Australian based
retailers and again I looked at over a
dozen different retailers I found the
same story in fact PC case gear now
lists just a single mag of 56 model and
of course it's out of stock I also tried
the AMD shop on their official website
and checked all the links they provide
there for various retailers and again
none of them had stock either I also
decided to have a look at pre-built
systems though there are almost none
that feature rx Vega graphics cards that
said I do know of one a Cybertron PC
packing and AMD risin thread grip in
1920 X with a reference rx mega64
graphics card
heading over to Best Buy there are over
two dozen models to choose from but just
one of them sports an RX Vega graphics
card inside and guess what it's the only
one out of stock there is one exception
to all this though and that's Apple AMD
obviously don't want to upset the
applecart
so you can still buy a horrendously
overpriced Iron Mac Pro to get a Vega 56
or 64 graphics card it's only eight
thousand two hundred and sixty dollars
for a Vegas 64 version with an 8 core
Xeon CPU 32 gigabytes of memory and a
one terabyte SSD I'll include an
affiliate link for you guys in the video
description below
I'm always looking out so at this point
on you two things there appeared to be
not a single Vega 56 or 64 card in stock
anywhere in the US or Australia that's
not completely unusual for Vega but
coupled with the fact that two of AMD's
partners told me that AMD is not
currently taking orders for either GPU
had me intrigued what did this mean
exactly my first thought maybe there was
some sort of serious issue with
production could yield really be that
bad at this point though you'd expect
that yields of the massive 486
millimeter squared I'd had to start to
improve so it probably had to be
something else then I noticed that while
there wasn't a single Vega 56 or 64 card
for sale anywhere there did appear to be
a few Vega frontier edition graphics
cards in stock I also recalled seeing
the frontier edition moles for sale in
the US and hopping back over in new egg
we can see the air-cooled version
selling for a cool $1500 or more
conveniently for minors half a dozen for
$9,000 us with a free six piece riser
kit included oh what a nice deal for
miners
I should note these frontier edition
graphics cards are being sold via Newegg
through a third-party seller called you
shop more so not Newegg themselves at
the time of putting this video together
new egg didn't actually have stock so
the frontier Edition can still be
difficult to track down especially at a
reasonable price at that point the penny
started to drop I began to speculate
that AMD probably hadn't reduced supply
there Vega GPUs rather they had
redirected all available supply to their
frontier Edition line by choice miners
would prefer to buy Vega 64 it's
essentially the same product well it's
the same GPU but with half as much HBM
to memory and it comes at an MSRP of
$500 u.s. Vega Frontier Edition on the
other hand boasts an MSRP of $1,000 u.s.
so in other words it cost twice as much
and the only difference is the HBM to
memory capacity granted HP m2 memory is
expensive and best estimates put the
cost of 8 gigabytes at around 150
dollars u.s. so assuming you can double
that for 16 gigabytes which you should
be able to do this means there's about
150 dollars u.s. worth of extra memory
on the frontier edition card AMD though
they're charging at least $500 u.s. more
so they're pocketing let's say $350 US
on that deal this is assuming when
they're selling directly to retailers
such as Newegg AMD aren't increasing the
price themselves but I have no evidence
of that
and it is possible they could be but
again no evidence of that what I do know
is that AMD sells their reference design
RX vega cards to their partners who then
slap on their own branding before
pushing them out to distributors and
retailers generally this has done a take
up the slack before the board partners
produced their own custom design models
at that point AMD is just selling them
the GPU with the frontier Edition AMD
makes those exclusively or rather
contracts and manufacturer to produce
them this means AMD sells their radio
and pro brand of graphics card
directly to distributors and all
retailers so they have a bit more
flexibility when it comes to pricing in
there of course cutting out the
middleman
so with market conditions that see every
last GPU you can produce snapped up
almost before you can get it at the
factory door at alarmingly high prices
thanks to price gouging by board
partners distributors retailers and
maybe even AMA themselves why would aim
to even entertain the idea of selling
that product for $400 or $500 when they
can get at least $1,000 speaking of
price gouging Newegg sellers for example
are selling the $1,000 frontier Edition
for $1,500 but they're also selling
Vegas 64 should it become available for
$1,400 again the blame here might not be
entirely on retailers we just don't know
what AMD are really charging for them
though I tend to believe AMD's not
overcharging anyway as for shipping
frontier Edition models only or at least
focusing the bulk of the production here
it just makes sense for aim to do this
and honestly I can understand why they
are doing this anyway I'm just
speculating that this is what they're
actually doing and the evidence I have
certainly suggests that this is the case
their compute heavy GC and
fifth-generation architecture is highly
desired by minors and there's really not
much they can do about that for now the
goal would be to pump out as many Vega
GPS as they can slap them on frontier
edition graphics cards and make maximum
profit I'm not saying AMD has
discontinued or even stopped producing
Vega 56 and 64 graphics cards but the
evidence would suggest that they're
shifting focus to the frontier
additional models at the moment as I
said earlier it looks like apples still
getting their Vega graphics cards and
some retailers have told me they're
expecting fresh shipments sometime next
month
how large those shipments are that was
hard to say reading between the lines
though it's not expected to be that
significant at least for most retailers
anyway in the short term this really
does suck for gamers and I'm sure many
of you are getting ready to comment
something about how corrupt or unfair
AMD is below in the comments section but
as I said I don't really have a problem
with this or at least I understand why
they're doing it if AMD are indeed doing
this and if they are I think this is
exactly what they should be doing when
Tayler start selling vega 64 graphics
cards for well over $1000 Amy doesn't
make a single extra dollar from that
sale where they do make many more
dollars when they sell that same GPU on
a frontier edition graphics card if that
profit is then used to develop better
gaming graphics cards then that's great
let's be honest right now on the gaming
front AMD is really getting abused by
Nvidia as the Green Team is smacking AMD
around at almost every price point it's
a brutal way of putting it but I think
most of you will agree it's also very
true had it not been for this seemingly
never-ending mining boom AMD is GPU
division would be in very poor shape
right now and you'd see loads of Vega 56
and 64 graphics cards on shelves because
just about every gamer who wanted one
probably would have bought one by now of
course I have reached out to AMD for a
comment on this story and as you'd
expect at this point they're neither
confirming nor denying all they've told
me is that they are working on a formal
statement but it will come after they
announce their earnings for now this is
all I have to say in an official
capacity we are currently in a quiet
period in advance of announcing our
fourth-quarter financial results on
January 30th and I'm unable to comment
at this time on certain financial
related items such as GPU demand or
market pricing again just to be clear
I'm in no way bashing AMD and I do think
they are making the right move here
assuming I am right about all this of
course I am they also told me they're
100% committed to gamers and they're
working on devising ways of getting
graphics cards into the hands of gamers
going forward and gamers again are their
primary focus when it comes to
developing new graphics cards I know
everything we've discussed here
contradicts this statement but remember
this is a quicker action to solve an
issue
AMD currently faces or at least
capitalize on an issue that they're
currently facing and long-term solutions
could look very different anyway in
summary don't expect to see any custom
Vega 56 or sixty-four graphics card
reviews here at harbor unboxed anytime
soon this point it kind of goes without
saying but at least this provides a
little bit more information as to why
that is that's a real shame hopefully
this is just some short-term pain for
gamers and it will result in a brighter
future where we see stronger competition
- I am being an NVIDIA much like what
we're seeing between AMD and Intel right
now that's going to do it for this one
I'm your host Eve see you next time
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