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NVIDIA: 28nm supply constraints until year-end

Posted on Monday, August 13 2012 @ 16:19:40 CEST by

NVIDIA CEO Jen-Hsun Huang warned that supplies of 28nm GPUs will continue to be in short-supply due to capacity issues at TSMC. Huang says the shortages of 28nm parts are likely to continue into the fourth quarter of the year.
Speaking during his company's second-quarter earning call late last week, Huang explained that the 28nm situation is unlikely to get better in the short term. 'We're expecting to be supply constrained throughout this quarter,' Huang admitted in response to an analysts' question, 'and then we’ll report on that in Q4.'

Huang blamed several factors for the shortages: 'But obviously it's a combination of allocation, yield and the market demand,' he explained, 'and so those are a lot of variables.' Although the company's fabrication partners are largely to blame for yield issues - the ratio of usable chips to broken chips - and allocation issues, market demand for Nvidia's products is also playing a part in the shortages.

'So far market demand [for our 28nm parts] seems very strong,' Huang claimed, 'and we're selling into a marketplace with quite a bit of pent-up demand for Kepler.'
Source: Bit Tech



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