Oh nononono Nvidya bros, how could this happen???

Their growth was probably projected as long term install base and not
>people are only buying our shit as long as crypto is making them money

Why does it matter? They make a product. People buy it. Who cares who and why? They're not selling guns or something.

>$5 million

That's chump change to them and they can use it as a tax write off. You retards think actual litigation suits hurts companies like these?

How do you get sued for that? It is like getting sued for selling a motel room to a murderer who killed your other occupants. If you didn't know, how are you at fault? Unless they can prove that Nvidia knew and sold it to cyrpto farms.

if I had to guess, we're talking about big cryptominers agreeing to buy bulk product directly from manufacturers ahead of the product actually being made, then backing out after crypto imploded
company finances are weird where they'll report on the pending sales as if they already happened, looking great when things work normally
on the other hand, having to fix those numbers when the sale doesn't actually happen is a really bad look

Essentially they never mentioned crypto as part of their "gaming divisions" success, sales numbers don't reflect actual potential future growth, meaning anyone that invests in Nvidia thinking the company will grow, will end up losing money when crypto shits the bed again (as is the case now, 500 million crossed off) essentially they're being willfully deceptive, which can result in significant monetary losses to investors, theres probably a law somewhere they're violating.
4 is more than any single individual would ever need

thats a whopping 3500 3080s sold to miners
basically nothing
obv referred to big mining farms with direct contracts
future revenue, if sales go up but it’s tied to mining, and that dies, i’d like to know how much was going to that segment. no different than knowing how much of x product is sold to russia, hit by sanctions,for example

>Would everyone who buys GPUs in bulk be automatically flagged as miners?
Yup

Hopefully they get fined making up a chip shortage so they could let pieces triple per card.

$5.5 million is what I paid for my 3090.

>Nvidia failed to disclose that cryptomining was a “significant element” of its revenue growth from sales of chips designed for gaming
This is bizarre. That crypto has led to a huge boom in the GPU market is not a secret or something. They didn't cover anything up. They just never "disclosed" the bleeding obvious.

Seen as nvidia no longer support sli, you only need one gpu for gaming. Any more than one is obviously for mining.

>crypto boom begins
>nivida sells a fuckton of GPUs in bulk to miners, but counts them as gaming related purchases
>shareholders see this as a massive growth that will continue leveling up till the end of time
>to keep them happy nvidia says sure why not, lets go with that
>to the surprisde of nobody as soon as crypto became banned, hard to sell and generally not worth it sales plummeted so hard that shareholders saw this as suspicious shit
>nvidia has to admit it to avoid a bigger mess
that's really it

>5.5 million
as if they care. that's like 50 bucks for the average person

im just glad crypto is fucking dying already

me too

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In terms of sales, the rtx 3000 series was a big success, but since crypto miners bought most of the cards instead of their intended market it has been a massive failure, people are still rocking gtx 1000 and rtx 2000 stuff.

What if I've got 2 PCs? Or maybe wanted to have one for myself and one for my brother or something?

Well yes there are some cases where people have good reason to buy 2 but not that many.

Spoken like a retarded poorfag no coiner.

>guns bad!
Dumb twittercuck

The worst thing is that this shit isn'y new.

They got called out for the exact same shenanigans in 2016/2017 crypto boom

5.5m is like what, a few thousand GPUs or something?

>Spoken like a fucking awesome dude, lmao
ftfy

cope

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It also means they lied about the shortage and the reason for it.

ohhh no 5.5 million dollars!!!!

>Any more than one is obviously for mining.
I use it for machine learning research since I need the increase vram for large batch sizesm

Because they lied? Lying is wrong. I know, controversial opinion.

4 is probably the max unless it's for a company

This

Don't you know that the gun industry has the unique privilege of being exempt from legal liability for what people do with guns? No other industry has this. Nope. Certainly not. If I stab someone with a kitchen knife, for example, the manufacturer of the knife can be sued for this. But not the gun industry. They passed a law saying they can't be sued. Nobody can actually find this law but they keep saying it exists so it must.

that's it. time to boycott nvidia

>sell for several billion dollars to miners
>get sued for 5.5millions
oh noes

the average Yea Forums poster is so stupid it's not even funny

That's just the SEC fine. They can still be sued by investors.

It isn't about how much the fine is, it's about the fact that they Japanese Jews that lied about a gpu shortage and sold the majority of stock to miners.

>and sold the majority of stockings to minors.
fucing nip perverts

the SEC have a reason to sue them over this (or rather a legal obligation), the shareholders do not

and?
you missed the main point of my post; this is meaningless and will not have any impact on anything except them losing 5.5 million dollars over the billions they made
>but public opinions!
lol

>If I stab someone with a kitchen knife, for example, the manufacturer of the knife can be sued for this.
You can attempt to sue them for it but it would by thrown out as frivolous.
The reason the law was passed was the system was flooded with these frivolous lawsuits and it was more efficient to keep them from being considered than wasting the legal systems time.

Who gets the money when someone gets fined?

>nvidia
>japs
nah. they're taiwanese, which is just another way of saying chinese.

I don't know much but surely shareholders can sue them for providing them with false information about the state of the company.

We just now have confirmation. It's been obvious they were doing this when we've seen warehouses of cards in mining rigs. There was even one guy who was bragging on twitter about paying double per GPU to get them in bulk.

Government.

Here's a fun fact; everywhere works out their budgets assuming they will levy a certain amount of fines against the general population and bring that in as revenue to be spent. That's why cops and shit have quotas.

>5.5M
snore, come back when, it's a 5.5B fine, fines actually hurt these companies

They should have to pay back the amount over msrp people have paid for their cards, also to the retailers that had to buy the stock at inflated prices.

how the fuck can you get fined for hiding your customers?
as much as i don't like minerfags there is zero reason anyone should give a fuck about who they sold it to, they payed money and got the product and that's fucking it

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They wipe their ass with 5.5 million every day.

Just cost of doing business lol. SEC is toothless af

user, they lied about the gpu shortage and let it go on so they could charge double the amount per card.

>$5.5 million

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>Can you explain this? I dont understand how NVIDIA can be sued by their shareholders, what's the difference selling it to cryptominers or other people?
Crypto is a dramatically more volatile market than consumer gaming (or business/cloud compute usage for that matter). That volatility is materially relevant information to shareholders, risk is an absolutely core critical part of valuing anything. Stuff that boom/busts can 100% still be worth investing in, but the multipliers, expected ROI and such are all different than something steadier and safer.

Nvidia covered up volatility which is absolute textbook securities violation.

>do you think AMD doesn't do this? it's a crypto market now. why would they choose to make less money?
This isn't about SELLING to crypto user, that's fine. It's about HIDING that from your owners. Shareholders are the owners of the company.
>they didn't realize it was a distinction they had to care about
>they thought "a sale is a sale"
lol no. They damn well fucking knew it, they weren't born yesterday. At any rate, saying "crypto sales" are "home gaming sales" is a flat out fucking lie whether you think it makes a difference or not. If you are a public corporation, you don't get to decide whether it matters. Literally not your call. That's for your investors to decide.

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Because you need to give accurate information to your shareholders so they know what is going on. If you are experiencing a large amount of growth, not from organic increase in interest but from a craze that may die down, then if you don't tell your shareholders that they may make bad investments into your business because you have misled them.

>how the fuck can you get fined for hiding your customers?
By going to the public stock markets to get lots and lots of money and agreeing to all the rules there then breaking them. Want to run a super sekrit company that isn't accountable for all that? Stay private. Lots of businesses do.

10% to the big guy.

that's totally different from the article, but even then how can you get fined for lying about how much you have in stock? and nobody is forcing people to buy the cards at that price so how can they get fined even for those absurd prices? it's not food or water

Basically they committed financial fraud and gave false information to shareholders which is also illegal.

Yeah, thanks to Twitter, peoples naivety of companies caring skyrocketed so people forget the bad they do a week later.

They deserve to get fucked over this. It's sad as they won't learn their lesson as with last time.

youtube.com/watch?v=a8MZBUoQt68

Gotta love people complaining about crypto mining, while the smart ones are getting gpus that pay for themselves.

They didn't give false information. They just neglected to mention some pertinent details.

>How can you get fines for lying
Look up the word fraud

Probably some investor garbage like they said "we can sell X copies to customers" and then it turned out all those cards were sold to miners and they can't actually sell as much to regular customers making it a false investment.

They have $500b+, a $50b or even a $100b should be more appropriate.

How the fuck would they know

If you want to trade publicly, you have to disclose ALL sales to shareholders at least. That's what they didn't do. It's also why new laws are going to have public disclosure of streaming service numbers.

> gpus that pay for themselves.
Not anymore

>They just neglected to mention some pertinent details.
Of course

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>They didn't give false information. They just neglected to mention some pertinent details.
No, they gave false information, they attributed much of their crypto GPU sales to growth in gaming. That wasn't true, it was due to crypto. Simple as that. They didn't lie about actually selling or something more serious, but they absolutely gave false information by claiming sales to one more volatile market segment were instead sales to another less volatile segment.

They haven't been able to pay for themselves for five years retard.

Do does it happen? Why should they care what people are using their product for? That's something for a third party to figure out.

People invest in Nvidia thinking most of their sales are to gamers, who will likely be return customers as they upgrade to better cards, but it turns out most sales were to miners, who will only buy new cards if it's profitable for them to do so. If cryptocurrencies are having a bad time, mining sales will plummet no matter how many there were in previous years.

God?