While end customers are wondering about availability and prices, in the background they are apparently using a sharp pencil to decide who gets how many RX 9070 cards. The strategy is not necessarily new, but the way it is implemented raises questions. However, it is nothing new that there is very strong selection here. Does anyone remember Igor’s article on ASRock’s brand launch and the move not to sell just one Asian model?
Two classes of board partners: some get everything, others almost nothing
According to information from Board Channels, AMD has divided its board partners into two groups. On the sunny side are ASUS, XFX, PowerColor, Sapphire and Vastarmor – companies that are apparently considered “core partners” and are generously supplied with RX 9070 cards. On the other hand, Acer, Yeston, Gigabyte and ASRock have to make do with significantly smaller quantities. Now you might think that this is simply due to market shares or production capacities. But it’s not quite as simple as that. It is striking that the preferred manufacturers are almost all strongly represented in China or even exclusively produce AMD graphics cards. PowerColor and XFX, for example, only sell Radeon cards, while Gigabyte and ASRock serve both camps and are therefore probably considered less loyal partners.
Shortage as a sales strategy?
When a manufacturer allocates larger quantities to certain partners, this naturally has an impact on the market. Customers looking for an RX 9070 are therefore more likely to find it at ASUS, PowerColor or XFX. The other manufacturers, on the other hand, could struggle with artificial shortages – which could then naturally be reflected in higher prices. And as if that wasn’t enough, there’s also AMD’s selective rebate system. Those who play along not only get more GPUs, but could also benefit from discounts that allow the cards to be offered at particularly attractive prices. Whether this is ultimately an advantage for the customer or only for the preferred manufacturers remains to be seen.
China as a driving factor?
It’s no secret that China is an extremely important market for AMD. And if you look at who is at the top of the priority list, it quickly becomes clear that AMD’s strategy is strongly focused on the Asian region. Brands such as PowerColor and Sapphire are much more important there than Gigabyte or Acer, for example. It therefore looks as if AMD is trying to supply the Chinese market with emphasis, while the rest of the world has to make do with what is left. Anyone hoping for a wide selection of custom models in Europe or North America could be disappointed.
Long-term consequences for the market?
This type of distribution is not new, but it could have long-term consequences. If AMD favors certain manufacturers, then the disadvantaged AIBs could consider whether they should continue to invest in AMD GPUs or focus even more on NVIDIA. In any case, it would come as no surprise that Gigabyte and ASRock might launch even fewer RDNA models in the future. Ultimately, it remains to be seen whether this strategy will work out for AMD. Because if customers in certain regions find it difficult to get an RX 9070 at a reasonable price, then it will end up back on AMD’s table. And then there’s again a great deal of astonishment as to why market shares aren’t increasing. But well, we’ve been through this before.
Official and exclusive: ASRock's new graphics card portfolio for Europe and Germany
Source: Videocardz, Board Channels
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