Shockingly, EVGA announced that they will withdraw from the GPU business with NVIDIA in 22 years. EVGA withdraws from Nvidia's GPU business after 22 years, which is a major blow to one of North America's largest graphics card suppliers.

Shockingly, EVGA announced that they will withdraw from the GPU business with NVIDIA after 22 years.

EVGA withdrew from Nvidia's GPU business after 22 years, which is a major blow to one of North America's largest graphics card suppliers.

The announcement was forwarded to multiple news media, including Jon Peddie Research, Gamers Nexus and Jayztwocents. While the decision to withdraw from Nvidia's GPU business was finalized in June, the company only officially announced the decision through social networks and media. EVGA decided to take such a huge step, and the main reason for ending its main business was called rising prices and lower profit margins, but the story didn't end there.

EVGA has been working with NVIDIA in the GPU business since 2000, when they offered the first custom AIC based on NVIDIA's GeForce MX 440 graphics card. Since then, the company has expanded its business scope to provide gamers and enthusiasts with PSU, motherboard, cooler , PC chassis, pre-built, peripherals and other products. Despite these improvements, GPUs have always been at the forefront of EVGA, which is also a well-known reason.

Now, EVGA itself does not say anything explicitly. There are conflicting reports every time the technology exports explain the main reasons why they exited the EVGA business, but I think Jon Peddie gives us a better understanding of the whole situation between the two companies & what exactly happened:

html Over the past 0 years, complexity, power, price, and size have evolved from small single-slot AIB to super-large double-slot, 500 W, and over $1,500 behemoth. GPU's transistor and processor density grows faster than Moore's Law and provides amazing results and computational acceleration in a range of industries. They found applications in gaming, media and entertainment, simulation, crypto mining and artificial intelligence training.

To help GPUs integrate into all types of market segments, Nvidia has invested a lot of money in R&D, spending more than $5 billion in 2021 and expected to spend more than $7.5 billion in 2022.

However, at the same time, manufacturing costs, R&D expenses and market costs have increased, and profit margins for AIB partners have declined. Over the years, the old jokes compiled on the volume have become less and less funny. However, as they entered the neighboring market, Nvidia's profit margins rose over time.

However, EVGA and other AIB partners have increased their merchandise, manufacturing and marketing costs. In addition, EVGA is unusual compared to its peers in the AIB market because it has a large number of engineers designing its PCB and cooling systems, and provides monitoring and overclocking software (EVGA Precision), 24/7 advanced customer service, 48-hour RMA return policy, and an innovative queuing system that provides AIB to gamers during the pandemic. EVGA also invests more than most, if not all, competitors as part of its goal to become a high-quality AIB supplier for high-end players in high-demand .

Slowly, over time, the relationship between EVGA and Nvidia has changed from what EVGA believes to be a real partnership to a customer-seller arrangement, that is, no longer consult EVGA for new product releases and briefings, no longer appear in activities, nor are it informed of price changes.

EVGA said it will continue to sell and support its existing NVIDIA-based AIB while maintaining sufficient inventory to support its three-year warranty, but will terminate its relationship with NVIDIA. EVGA will still offer its award-winning PSU (power supply) and other product lines.

----Jon Pedy

But in the latest announcement, EVGA has confirmed that they will no longer use NVIDIA GPUs. Therefore, EVGA's GeForce RTX 30 series will mark a 22-year history. EVGA will still hold enough stock to drive a military revolution within three years, but they won't make any AICs on Nvidia's next-generation GPUs.

Considering that NVIDIA is about to announce its next generation GeForce RTX 40 series graphics cards in a few days, this is undoubtedly huge. Therefore, in the future generation, fans and enthusiasts who also buy EVGA cards will have to find another place. That being said, EVGA just exited the GPU business with NVIDIA, opening up space for future collaborations with AMD and Intel, but so far, until EVGA confirmed it, everything is just speculation.

EVGA has terminated its relationship with NVIDIA.EVGA will no longer produce any type of graphics cards because of the deterioration of the relationship with NVIDIA (and other reasons that are minimized). EVGA will not currently discuss its relationship with AMD or Intel. The company will immediately reduce its scale after exiting the graphics card market. Customers will still be protected by EVGA policies, but EVGA will no longer produce RTX or other graphics cards. The company manufactured 20 samples of EVT EVGA RTX 4090 ft w3 plates, but would not go into production and terminated all board-related activities, including the main pin board.

-----EVGA CEO Lei Han

When EVGA cooperated with NVIDIA, they controlled 40% of the AIC graphics card market in North America. Their exit will certainly open up other AI stocks and get them snapped up, but these stubborn EVGA fans will need time to adapt to the new non-EVGA market & As Jon Peddie predicts, the North American GPU market will need about 2-3 (probably more) quarters to adapt to this huge change.

Barron senior writer Tae Kim issued an official statement on the matter, but did not explain much:

cannot contact EVGA because their employees are in a meeting, but here is a classic statement from Nvidia: "Over the years, we have established a good partnership with EVGA and will continue to support their new generation of products. We wish Andre and our friends in Evga all the best."

-Kintai (@ first adapter) September 16, 2022

company will exist. While they will be reorganized into a smaller business, they will also look at other revenue opportunities before announcing their next GPU effort. The company has many engineers and experts who have provided some of the best GPU coolers and PCBs for our overclocking and gaming needs over the years. But so far, EVGA's NVIDIA GPU has come to an end, and the loss is no less than that of BFG Technologies' exit from the GPU market or XFX cut off ties with it a few years ago.