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PC Gaming Hardware Market Worth $21.5 Billion

#31LvthnPosted 7/15/2014 3:46:18 PM
SampsonM posted...
I don't think it's wrong to suggest that a slump in total desktop sales is virtually irrelevant to what the PC game market, including the gaming hardware market, is doing.


I agree with you. I'm just saying that having a custom built rig is a pretty rare thing, and even if more people are suddenly building their own PCs, it's still a tiny (insignificant) share of the larger PC market.

Another way to look at it is to look at Nvidia's earnings. Last year, they took in about $3.2B on their graphics cards. If we assume an average selling price of around $300, that's about 10.5M video cards. Include AMD, it goes to about 20M. Of course, that's quite high, given that Nvidia/AMD cards appear in prebuilt PCs, and that some chunk of their revenue is going to the super high-end cards that are used by businesses.


Nah, I know for sure it's a rarity. Nearly everyone I've shown my PC to (or photos of) that I know IRL and explained that I built it has held some kind of awe like I built a car from scrap metal. In reality the most challenging part of the build was having to drill the case slightly because of misaligned holes to mount the radiator. If that had not been the case, the whole build would have taken under 4 hours, and this is a liquid cooled 2 GPU build.

So clearly lack of information alone is a major barrier to custom builds, the general public seems to have no awareness that this is even something Joe Blow is capable of doing. Seriously, look at how people freak out about thermal paste, as though smearing some damn goop, or even easier, just putting a pea sized drop in the middle and mounting the heatsink, is a complicated ordeal. Just no confidence in their own craftsmanship, I guess.

Custom building literally anything will never be mainstream for that reason. Still, I think even if we take the more conservative of your numbers and say that, oh, 10 million total consumer GPUs were sold per year, that's really not that bad, even compared to the total consoles sold per year. A platform with no "generations" selling 10 million units a year, consistently and continuously, cannot really help but do well. Especially when, as I mentioned, those units are selling at profit, in contrast to the regular losses many other electronics take (not just consoles, incidentally - a lot of consumer electronics that rely on the sale of content later do the same thing, but I think it's fair to say that Corsair and EVGA are not relying on game sales to make their money).
#32darkstar4221Posted 7/16/2014 1:37:01 AM(edited)
wizardmon posted...
JohnMafia posted...
By the way claiming that someone making $10k a year should be able to afford a $1000 PC or just move to a cheaper place is one of the dumbest things I've read on the internet.

Really? when I built my PC for 1200$ a few years ago I made 8500$ a year, paid for rent, food, clothing, transportation, phone, internet and was still able to get a really decent mid end PC with a 2500K, 8GB DDR3 1600 ram, decent 150$ MSI motherboard, two 1TB HDDs, and a 6950 1GB. Very mid end, very affordable, even had money to spare for a year of Eve online, 120 days of WoT premium time and some games on steam.

If your cost of living is high because of the location you live in and your only making 10K, then why in your right mind would you not move to a more livable location?


It's not easy to afford a $1000 computer with a $10,000 paycheck if you live in California for example. The average cost to rent an 2-bedroom apartment in California is $1341 a month. The unemployment and the inflation rate has increased rapidly over the last three years. To say that anyone can afford a $1000 computer in this economy is ignorant and oblivious to why PC sales have declined.

Of course there are other factors to why the cost of a quality PC hasn't gone down fast enough. The intellectual property laws (copyright and patents) which allow large tech firms like Microsoft, nVIdia, AMD, and Intel to block competition and rig the market is another major reason. In Japan they can't even afford consoles anymore because the inflation is so bad there so don't expect the PC to take off in Japan. Is it really surprising that the demand for PCs is so low?
#33ThePaleRiderpPosted 7/16/2014 1:31:27 AM
darkstar4221 posted...
wizardmon posted...
JohnMafia posted...
By the way claiming that someone making $10k a year should be able to afford a $1000 PC or just move to a cheaper place is one of the dumbest things I've read on the internet.

Really? when I built my PC for 1200$ a few years ago I made 8500$ a year, paid for rent, food, clothing, transportation, phone, internet and was still able to get a really decent mid end PC with a 2500K, 8GB DDR3 1600 ram, decent 150$ MSI motherboard, two 1TB HDDs, and a 6950 1GB. Very mid end, very affordable, even had money to spare for a year of Eve online, 120 days of WoT premium time and some games on steam.

If your cost of living is high because of the location you live in and your only making 10K, then why in your right mind would you not move to a more livable location?


It's not easy to afford a $1000 computer with a $10,000 paycheck if you live in California for example. The average cost to rent an 2-bedroom apartment in California is $1341 a month. The unemployment and the inflation rate has increased rapidly over the last three years. To say that anyone can afford a $1000 computer in this economy is ignorant and oblivious to why PC sales have declined.

Of course there are other factors to why the cost of a quality PC hasn't gone down fast enough. The intellectual property laws (copyright and patents) which allow large tech firms like Microsoft, nVIdia, AMD, and Intel to block competition and rig the market is another major reason. In Japan they can't even afford consoles anymore because the inflation is so bad there so don't expect the PC to take off in Japan. Isn't it really surprising that the demand for PCs is so low?


Yea here in Atlanta the cheapest place will probably get you killed so a decent place will cost around $700 minimum. Multiply that by 12 and you already have $8400 gone out of that 10k. So now you have $1600 left over but there's still other bills, food and transportation that you have to factor in. Transportation is going to cost you 1200 minimum if you take public transportation so now you have $400 left. Looks like there's no new PC for you this year or the years to come unless you get a better job but that's a different story all together.
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#34majinbuu58Posted 7/16/2014 1:36:47 AM
Anyone living off 10k a year is not living in a decent place. You guys are crazy.

$500 MAXIMUM for rent. And even thats generous.
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#35wizardmonPosted 7/16/2014 5:01:45 PM
Is everyone just like, not capable of understanding the concept of moving to a better location? If you are honestly living in California or whatever tech utopia working at a restaurant because you don't have employable skills and can't afford college/training making 10k then rent a u-haul, drive to Minnesota or something and actually give yourself a chance to save some money up & get some good schooling while you are at it.
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#36darkstar4221Posted 7/16/2014 5:28:35 PM(edited)
wizardmon posted...
Is everyone just like, not capable of understanding the concept of moving to a better location? If you are honestly living in California or whatever tech utopia working at a restaurant because you don't have employable skills and can't afford college/training making 10k then rent a u-haul, drive to Minnesota or something and actually give yourself a chance to save some money up & get some good schooling while you are at it.


That's not the point of the topic though, the article points out that premium computers is in demand and how it's a billion dollar industry like everyone wants it, but fails to mention why PC sales are low ESPECIALLY for premium computers. But in your view $1000-$1200 is mid-range that's ridiculous, that's high end right there.

I mention that there are legitimate monopolies and oligopolies in the tech industry (which you can't deny) which stalls progression while improvements in the PC come at a much slower pace, and that means the cost of a quality PC never really go down in price. PCs five years ago and today there is hardly any difference, actually prices for a quality PC is probably more expensive now given that the cost of memory and hard drive have gone up in price. Combined with the high inflation and the high unemployment all across the country (and if you deny this I don't know what to say to you), what demand is that article talking about? And moving to another state isn't easy as you think it is, yeah anyone can just rent an apartment in Minnesota right.
#37darkstar4221Posted 7/16/2014 7:19:56 PM(edited)
wizardmon posted...
Is everyone just like, not capable of understanding the concept of moving to a better location? If you are honestly living in California or whatever tech utopia working at a restaurant because you don't have employable skills and can't afford college/training making 10k then rent a u-haul, drive to Minnesota or something and actually give yourself a chance to save some money up & get some good schooling while you are at it.


And wizardmon, I know you are taking shots at me, but I'm fine, the last thing I need is life lessons from you. If you think moving to another state is easy, than you have no clue about reality.
#38bsballa09Posted 7/16/2014 7:24:01 PM(edited)
wizardmon posted...
Pepys Monster posted...
darkstar4221 posted...
no way in hell consumers can simply shell out $1000 for a gaming rig

A $1000 gaming rig is mid end. Plenty of people can afford that.

Even if you worked at mcdonalds, pay for your own bills, pay for your rent, live with roommates, and made about 10,000 dollars a year you should still be able to pay 1000 dollars for gaming computer. if you can't afford that you should consider moving somewhere cheaper or managing your money better.

I'm agreeing that 1000$ is near mid end for a gaming oriented desktop computer.


You're kidding right? Spending 10% of your income on a gaming PC? This shows you live with your parents. A 10,000 dollar income is below poverty level as is.
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#39CELTEKKPosted 7/16/2014 7:05:19 PM
Stop saying mid-end. Please. It's "mid-range."
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#40OreoBoy206Posted 7/16/2014 7:20:05 PM
If you only make $10,000 a year, you should honesty be looking into living in subsidized public housing or moderate income housing..