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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  • LawRecordings - Thursday, October 1, 2009 - link

    Buwahahaha!!!

    What a sad, lonely little life this Silicon Doc must lead. I struggle to see how this guy can have any friends, not to mention a significant other. Or even people that can stand being in a room with him for long. Prolly the stereotypical fat boy in his mom's basement.

    Careful SD, the "red roosters" are out to get you! Its all a conspiracy to overthrow the universe, and you're the only one that knows!

    Great article Anand, as always.

    Regards,
    Law
    Vendor agnostic buyer of the best price / performance GPU at the time
  • SiliconDoc - Thursday, October 1, 2009 - link

    They can't get me, they've gotten themselves, and I've just mashed their face in it.
    And you're stupid enough to only be able to repeat the more than thousandth time repeated internet insult cleche's, and by your ignorant post, it appears you are an audiophile who sits bouncing around like a retard with headphones on, before after and during getting cooked on some weird dope, a HouseHead, right ? And that of course does not mean a family, doper.
    So you giggle like a little girl and repeat what you read since that's all the stoned gourd can muster, then you kiss that rear nice and tight, brown nose.
    Don't forget your personal claim to utter innocence, either, mr unbiased.
    LOL
    Yep there we have it, a househead music doused doped up butt kisser with a lame cleche'd brain and a giggly girl tude.

    Golly, what were you saying about wifeless and friendless ?
  • ClownPuncher - Thursday, October 1, 2009 - link

    What exactly is a cleche?

    Is it anything like a cliche?

    Your spelling, grammar, and general lack of communication skill lead me to think that you are actually a double agent, it's an act if you will...an ATI guy posing as a really socially stunted Nvidia fan in an attempt to turn people off of Nvidia products solely by the ineptitude of your rhetoric.
  • UNCjigga - Wednesday, September 30, 2009 - link

    I'd hate to have a political conversation with SiliconDoc, but I digress...

    Some very interesting information came out in today's previews. Will Fermi be a bigger chip than Cypress? Certainly. Will it be more *powerful* than Cypress? Possibly. Will it be more expensive than Cypress? Probably. Will it have more memory bandwidth than Cypress? Yes.

    Will it *play games* better than Cypress? Remains to be seen. Too many factors at play here. We don't know clock speeds. We have no idea if "midrange" Fermi cards will retain the 384-bit memory interface. We have

    For all we know, all of Fermi's optimizations will mean great things for OpenCL and DirectCompute, but how many *games* make use of these APIs today? How can we compare DirectX 11 performance with few games and no Fermi silicon available for testing? Most of the people here will care about game performance, not Tesla or GPGPU. Hell, its been years since CUDA and Stream arrived and I'm still waiting for a decent video encoding/transcoding solution.
  • Calin - Thursday, October 1, 2009 - link

    Even between current cards (NVIDIA and AMD/ATI) the performance crown moves from one game to another - one card could do very well in one game and much worse in another (compared to the competition). As for not yet released cards, performance numbers in games can only be divined, not predicted
  • Bull Dog - Wednesday, September 30, 2009 - link

    So how much in NVIDIA's focus group partner paying you to post this stuff?
  • dzoni2k2 - Wednesday, September 30, 2009 - link

    You seriously need to take your medicine. And call your shrink.
  • dragonsqrrl - Thursday, October 1, 2009 - link

    I know it seems like SiliconDoc is going on a ranting rage, because he kinda is, but the fact remains that this was a fairly biased article on the part of Anandtech. I've been reading reviews and articles here for a long time, and recently there has been a certain level of prejudice against Nvidia and its products that I haven't noticed on other legitimate review cites. This seems to have been the result of Anandtech getting left out of the loop last year. Throughout the article there is a pretty obvious sarcastic undertone towards what the Nvidia representatives say, and their newly announced GPU. I can only hope that this stops, so that anandtech can return to its former days of relatively balanced and fair reporting, which is all anyone can ask of any legitimate review cite. Articles of this manner and tone serve no purpose but to enrage people like SiliconDoc, and hurt Anandtech's image and reputation as a balanced a legitimate tech cite.
  • Keeir - Thursday, October 1, 2009 - link

    Curious in where you see the Bias.

    I see a little bit of the tone, but it seems warranted for a company that has for the last few years over-promised and under delivered. Very similar to how AMD/ATI was treated upto the release of the 4 series. Nvidia needs to prove (again) that it can deliever a real innovative product priced at an affordable level for the core audience of graphics cards.

    Here we are, 7 days after 5870 launch and Egg has 5870s for ~375 to GTX 295s at 500. Yet again, ATI/AMD has made it a puzzling choice to buy any Nvida product more than 200 dollars.... for months at a time.
  • SiliconDoc - Friday, October 2, 2009 - link

    What's puzzling is you are so out of touch, you don't realize the GTX295's were $406 before ati launched it's epic failure, then the gtx295 rose to $469 and the 5870 author edsxplained in text the pre launch price, and now you say the GTX295 is at $500.
    Clearly, the market has decided the 5870 is epic failure, and instead of bringing down the GTX295, it has increased it's value !
    ROFLMAO
    Awwww, the poor ati failure card drove up the price of the GTX295.
    Awww, poor little red roosters, sorry I had to explain it to you, it's better if you tell yourself some imaginary delusion and spew it everywhere.

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