> Nvidia introduced LHR in February 2021 with the launch of its GeForce RTX 3060 models. Three months later, the company brought LHR to its GeForce RTX 3080, 3070, and 3060 Ti graphics cards. The reason: to make the cards less desirable to people mining Ethereum and possibly other types of cryptocurrencies. What a bizarre move. Why would they do this?
It was an attempt to decrease demand for the cards, thereby reducing price. The simplest market solution to high demand and inadequate supply would be to raise the price of the cards. This would maximize short-term profits but Nvidia felt it was not the right strategic move. Why not? Here are some guesses: - pricing gamers out of the GPU market would damage Nvidia's historical market - video games - pricing AI users…
AI, get your tech in, get them them invested on software level and as it scales demand will go up and stay up. Just see how long Intel has been around. Similar position and inertia is sure way to make money.
Crypto on other hand purely chaces profits. And you can't really rise the prices for partners, that is board manufacturers too much. So even if end user prices are high, not all or even big chunk transfer to Nvidia...