Nvidia RTX 40 Series GPUs Affected by Supply Shortage, According to Leak

According to reports, Nvidia has restricted the supply of RTX 40 series GPUs in order to prioritize the production of AI chips.

According to certain supply chain sources, there is a possibility of a market shortage for Nvidia RTX 40 ‘Lovelace’ graphics cards as early as August. Information from Nvidia’s partners suggests that the supply for certain WeUs may have decreased by up to 50%.

There is conflicting information regarding the reason behind this shortage in supply. According to media reports from Taiwan, Nvidia is shifting its attention towards producing AI chips.

Nvidia has greatly benefited from the AI boom, solidifying its position as a key hardware supplier for AI companies like OpenAI.

According to reports, suppliers such as TSMC have redirected their manufacturing capabilities towards producing AI chips. As a result, there is limited capacity for producing consumer-level GPUs, such as the GeForce RTX 4060 and RTX 4070.

August RTX 4070 and above supply in shortage due to GDDR6X supply. According to ChannelGate, due to GDDR6X batch quality issue, August memory supply is in shortage. So that RTX 4070 and above, which uses GDDR6X, get shortage too in August.https://t.co/2KsJchRHzm

— Posiposi (@harukaze5719) July 29, 2024

However, according to a post on BoardChannels, a forum reserved for Nvidia’s authorized partners, the shortage is believed to be caused by a lack of available memory supply.

Harukaze5719, a user on Twitter/X, discovered the post on BoardChannels detailing a scenario in which Nvidia experienced a decrease in the availability of GDDR6X memory modules from memory manufacturers.

The report identifies “quality control issues”with a shipment of GDDR6X memory, which reportedly caused a bottleneck in the supply chain and resulted in production delays. However, the report assures that this problem is temporary and can be quickly resolved.

UDN, a supplier for Nvidia, has acknowledged that there is a deliberate decrease in supply. This is to prevent an overflow of inventory as Nvidia prepares for the upcoming release of the next generation RTX 50 ‘Blackwell’ cards. However, this deliberate reduction in stock has resulted in increased prices for current cards, specifically impacting the RTX 4060 and RTX 4070 models.