Hacker News Reader

Comment by headcanon | Hacker News Reader

Market price for a 4090 is ~$2700 today: https://stockx.com/nvidia-founders-geforce-rtx-4090-24gb-gra...

When you have a retail price so far below "street" price, it just makes it harder to obtain and scalpers take a bigger cut. Raising the price to something more normal at least gives you more of a chance at the big-box store.

View on HN

Or scalpers won’t be dissuaded and street price for a 5090 will be $3200 or more. $1500 was already an insane price tag for scalpers to pay but they did it anyways.

The scalpers are trying to arbitrage the difference in price between the prices bought directly from suppliers and those on the open secondary market. increasing the retail price doesn't increase the price on the secondary market, it just lowers the margin of scalpers.

Great, so nothing changes.

very naiive question... But why have a retail price at all and not just auction off batches to retailers (say 10 000 card at a time)

Let the market set the price and only control how many cards you auction and when

Well for one thing it’s a lot easier to communicate expectations to consumers at CES.

“Coming soon to auction at a price set by users, no idea what that will be though, good luck!” is much less compelling for consumers trying to plan their purchases in advance.

Being able to decide a price and who you sell your product to is a huge leverage. Nvidia can go to a retailer selling something they don't like to be side by side on a shelf, hey ditch this and we will make you a price. It is never that overt of course and it can play geopolitically too, hey government you want chips? We have chips and it would be a shame if the market grabs them before you, BTW don't forget my tax cut.

Reply on news.ycombinator.com