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How Much Does An Nvidia Card Cost To Produce ? - 4/11/2005 8:29:43 AM   
SiliconFreak


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Joined: 7/4/2003
From: Melbourne, Victoria, AUS
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Older PCX 5750 cost...

We have seen an interesting document containing prices of some older Nvidia cards, component by component - the so-called bill of materials (BOM). It was interesting to see how much Nvidia had to spend in order to make one of its cards.
We are talking here about the cost of a PCX 5750 card based on bridged Geforce 5750 core. At that time, a few months back, the GPU chip itself cost $58 and that was by far the most expensive part of each graphic card.


The PCB (printed circuit board) in this case cost $13.40, but the most expensive stuff is the memory. In this case Nvidia used 128 bit memory clocked at 500MHz and it used 8Mx16 chips. The total number of chips is eight, and each chip costs $3.50 so that's $28.

In total this card's BOM cost $99.40 and there will also be money spent on cooling the thing. Nvidia's partner has to pay for the shipping, bundle, and cables but Nvidia suggested a retail price of $199 back then. So there is still some money to be earned from selling these cards.

You still have to bear in mind that Nvidia spent $400 millions to develop the Geforce generation of cards for example all the Geforces, Quadros and mobile cards, from a low end Geforce 6200 to a top end 6800 Ultra. So this R&D, taping out, wafers and software development costs quite some money and someone has to pay it. Partners and end users are the ones to cash in on it.


Source : TheInquirer
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