In order to respond to both crypto mining and gaming markets, AMD is planning to increase production of graphics cards, which are currently in short supply because of the crypto mining popularity. For instance the recently launched RX Vega GPUs is now out of stock.
According to AMD press release the revenue from the company’s Graphics Division has reached almost a billion dollars in the last quarter of 2017. Taking into account the shortages, AMD is trying to satisfy both miners and gamers.
High prices of different cryptocurrencies inspired investors and enthusiastic miners to invest and buy GPUs. They are used to mining currencies like Ethereum which requires moderate computing power.
The main AMD’s competitor, Nvidia, forced by miners’ appetite, took steps to ensure gamers that they have a chance to get hold of its video processors. It limited the number of graphic cards that can be purchased at a time.
At the same time, AMD admitted that its Radeon cards were in short supply because of miners. That is why the company hopes to satisfy the growing demand by increasing production.
CEO Dr. Lisa Su stated that the company is ramping up production. Shae presented the latest corporate earning report saying that cryptocurrency mining market is good for business. Advanced Micro Devices has announced $1.48 billion USD of revenue in the fourth quarter of 2017. $958 million of that total came from its Computing and Graphics division, where the year-on-year increase reached 60%. Sales of graphics cards, like the new Vega 56 and Vega 64, have been a key factor.
However, there are other important players which may influence AMD’s ability to satisfy gamers and miners. The company will also work to overcome the deficit of RAM. GDDR5 and HBM2 are the two main types of memory chips used in its RX 400, 500 and the new RX Vega graphics cards.
Another factor is that the miner’s demand tends to change due to the increasing or decreasing value of crypto.