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Nvidia cuts gpu prices

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Hardware

Nvidia recently lowered the price of its GeForce 6200 with TurboCache by US$15, according to sources at Taiwan graphics-card makers. In addition, the company cut the price on its GeForce 6600 series US$5 and the prices for all parts from its GeForce 6200, GeForce FX5200 and GeForce MX4000 series were reduced US$1-2, indicated the sources.

The price cuts are aimed to drive market demand during the traditional off-season, as Taiwan-based graphics card makers are reporting sequential drops in their May shipments, sources at graphics-card makers commented.

However, the price cuts on its entry-level and mainstream chips may prevent Nvidia’s from reaching its earnings estimates for its fiscal third quarter, and rumors of the price cut have already damaged the company’s share price, according to TheStreet.com.

Nvidia reported strong results for the first quarter of fiscal 2006, which ended May 1, 2005.

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