(https://support.bityard.com/hc/article_attachments/900007360983/mceclip0.png)
Nvidia says the activity of Ethereum mining contributed very little to its revenue for Q4 2020.
Although the end uses of its graphic processing units (GPUs) lack "the ability to accurately track or quantify," Nvidia CFO Colette Kress said the company estimates that between $100 million and $300 million-a "relatively small portion"-of Q4 revenue came from Ethereum miners buying GPUs to use in their mining equipment.
For Q4, Nvidia reported a total revenue of $5 billion, implying that mining sales accounted for 2%-6% of the total.
According to Coin Metrics data, the hash rate of Ethereum has grown 124 percent in the last year, in tandem with the rally of the general cryptocurrency market. This has driven demand for the GeForce RTX 3060 graphics card from Nvidia, much to the dismay of the gaming clients of the company. However, in the future, miner-contributed revenue for Nvidia is likely to come from purchases of other products from the company.
Earlier this week, Nvidia said that it is modifying its GeForce RTX 3060 graphics card to limit its own efficiency if the card detects that it is being used for Ethereum mining, a move designed to ensure gamers have access to GPU supply. We want GPUs to end up with players," Kress said Wednesday on the company's earnings call."
"The company is launching Cryptocurrency Mining Processors (CMPs) to serve the mining community, which are "optimized to enhance Ethereum mining" and will give the company "more visibility" into the share of income contributed by cryptocurrency miners, Kress said.
Nvidia plans to sell its new CMPs to industrial Ethereum miners and expects the mining-specific product during its first quarter of sales to generate approximately $50 million in revenue. In all future quarterly earnings reports, Nvidia plans to quantify miner revenue contributions as well.
Source: Bityard (https://support.bityard.com/hc/en-us/articles/900005613123-Blockchain-News-Nvidia-estimates-that-2-6-of-Q4-revenue-contributed-from-Ethereum-miners-)