Nvidia to Spend $10BN to Secure GeForce 40XX 5nm Chipset Supply!

/ 2 years ago
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Although the global chipset shortage is showing some moderate signs of improvement, by and large, demand for production slots is still exceptionally high. With the upcoming release of their GeForce RTX 4000 series graphics cards likely in mind, however, following a report via PCGames, it appears that Nvidia has had to spend (or ultimately will have to spend) $10BN to secure a production run of 5nm node design chipsets from TSMC.

nvidia 3070 graphics card

Nvidia Places $10BN 5nm Chipset Order With TSMC

While $10BN sounds like a ridiculous amount of money (and it is!) the bottom line is that for a company such as Nvidia, they spend around this level of money every single quarter. In the grand scheme of things, however, that money isn’t solely spent on securing chipsets. – Why is this such a huge amount of money though? Well, it may come down to two key points.

Firstly, with the demand for production slots so high, it’s something of an open secret that TSMC will allow you to jump the queue if you are willing to pay a premium for it. Secondly though, with the GeForce RTX 4000 series expected to arrive around September/October this year, it appears that Nvidia is attempting, as best as possible, to avoid any shortages when these new graphics cards arrive.

TSMC Announces 6nm Process Technology

Will We See Better Availability?

With so many consumers having basically written off any chance of getting an Nvidia 30XX series GPU, and particularly so with the 40XX series now on the horizon, you do get the feeling that Team Green’s management isn’t going to want another ‘phantom’ range of graphics cards that everyone wants, but no one can buy. – While it is, of course, speculative that supply for the 40XX series will improve, moves such as this by Nvidia surely can’t hurt!

What do you think? – Let us know in the comments!

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