Geforce RTX 4000: Nvidia reduces TSMC orders for 5 nm wafers [Gerücht]

Declining sales expectations in the PC business, but also for smartphones, televisions and the like are currently forcing large manufacturers to correct their orders from contract manufacturers downwards due to stocks being filled, above all from AMD, Apple and Nvidia, reports the industry service Digitimes.com.

While Apple’s started production of the iPhone 14 should be 10 percent lower than originally planned, AMD has orders for wafers in 6/7 nm production and Nvidia the 5 nm chips for the upcoming Geforce RTX 4000 series of graphics cards, while AMD would have no adjustments to the 5nm orders.

business down

According to sources in the semiconductor industry, TSMC’s top three customers have cut orders due to the softening market conditions and there could be a correspondingly weak third quarter, which means that TSMC’s annual revenue guidance may have to be lowered. The current market situation has recently also been reflected in the lower share prices of AMD and Nvidia, which have fallen by almost 50 percent in the last six months Videocardz.com referring.

“Gloomy Outlook for RTX 40 Demand”

In the case of Nvidia, TSMC is said to be unwilling to accept the reduction, but only to delay the first order volume by a quarter or even to the first quarter of 2023, while Nvidia is said to be obliged to find other customers to take over the free production capacities . Therefore, the planned autumn release of the “Ada Lovelace” graphics card generation could also be delayed.

According to Videocardz.com, Nvidia is currently sitting on a large stock of Geforce RTX 30 graphics cards, but is not prepared to lower the price, even though the used market is now being flooded with mining cards that are currently no longer really profitable to use and therefore increasingly going into resale. In view of the currently too many graphics cards available, there is a “dark outlook for RTX 40 demand”.