Nvidia expects demand for GPUs to exceed supply well into 2022

Nvidia CEO Jensen Huang expects the GPU market to be limited by supply well into 2022. According to the CEO, the demand for RTX video cards is ‘too great’. In the past quarter, Nvidia again recorded record figures.

Gaming revenue was $3.06 billion in the quarter. That is an increase of 85 percent compared to the same period a year ago. Nvidia generated $2.37 billion in sales to data centers, an increase of 35 percent. Total revenue came in at $6.51 billion, which is 68 percent more than in the same quarter last year.

Both in terms of gaming, data centers and total revenue, these are record amounts for Nvidia. Sales of CMP video cards for crypto mining were disappointing. The company generated $266 million in revenue from that, while it had expected it to be $400 million. Nvidia CFO Colette Kress expects sales from CMP products to be ‘minimal’ in the future.

LHR GPUs, with restrictions against crypto mining, accounted for 80 percent of all Ampere GPU shipments in the quarter. At the end of May, Nvidia released new variants of its GPUs with restrictions, to make the cards less attractive for mining Ethereum.

Although Nvidia achieves record figures, the demand for GPUs still exceeds the supply, says CEO Jensen Huang when discussing the quarterly figures. He expects demand to exceed supply for much of next year. Huang claims this is because the demand is “too great” and because the RTX cards are “groundbreaking”, causing many people to want to upgrade.

Q2 FY22 is the second quarter of 2021 in Nvidia’s financial year.