NVidia Exceeds Expectations for Third Quarter
Among the under performing companies in the third quarter there is always a few handful that does well. One of those companies is NVidia. In fact they are doing so well that they actually exceeded their own growth expectations. For the third quarter of this year NVidia made USD1.23 billion (MYR4.14 billion). That is a 16 percent increase compared to the third quarter of 2013 and 11 percent higher than what was made in the previous quarter earlier this year. Up to the third quarter as well they have shown a 15 percent improvement on total revenue at USD3.43 billion (MYR11.55 billion). Naturally the introduction of the new GeForce GPU helped and also being a graphics processor manufacturer most of the revenue made by the company comes from the sales of the GeForce GPU; NVidia is after all the most sought after graphics manufacturer for the gaming community currently.
There is however improvements elsewhere that has been increasingly more important in the company’s product line up. This group of products as well has been increasing its contribution to the total revenue every quarter. This group we are talking about is the Tegra line up. The Tegra is doing so well that growth in the third quarter, year-on-year is at 51 percent. The third quarter of 2014 sees NVidia raking in USD168 million (MYR565.61 million) through Tegra sales alone compared to USD111 million (MYR373.71 million) in the same period of last year. Although this is just a 6 percent improvement form the last quarter, it does show a rapid growth in mobile processors for NVidia.
Of course the warm welcome and popularity of the SHIELD tablet made by NVidia themselves contributes to the popularity of the Tegra platform. There is also Google with their new Nexus 6 fitted with the Tegra K1, making it the benchmark processor to be used in the new Android 5.0 Lollipop. What is interesting is also the fact that Tegra adoption in the automotive line has just passed the 6 million installation mark which means that sales through the automotive industry has just doubled over the past year. This just shows that NVidia is back in the game of mobile SoC producer. It is also a strong statement over the failure of the previous Tegra processor to impress major manufacturers. It puts NVidia back into competition with the likes of Qualcomm and Samsung.
Sources: Android Authority