All purpose Sales and Sales Rumours and Anecdotes [2022 Edition]

[Silent_Buddha]

AMD largest customer is HP. MS is their second largest customer.

https://csimarket.com/stocks/markets_glance.php?code=AMD

Still, their top 3 include Sony. So it's not like Sony will be significantly lacking in terms of getting good contract terms.

Collectively, our top five customers accounted for approximately 54% of our net revenue, Hewlett-Packard Company, Microsoft Corporation and Sony Corporation each accounted for more than 10% of our consolidated net revenues. Sales to Hewlett-Packard consisted primarily of products from our Computing Solutions segment. Sales to Microsoft and Sony consisted primarily of products from our Graphics and Visual Solutions segment.

That seems to maybe imply that while MS attempts to get as much EPYC processors as they can, AMD's ability to supply them is still pretty limited and thus MS are likely still predominantly using Intel CPUs in their data centers.

Regards,
SB

 

[zed]

AMD largest customer is HP. MS is their second largest customer.

https://csimarket.com/stocks/markets_glance.php?code=AMD

Where does it say that?
"approximately 54% of our net revenue, Hewlett-Packard Company, Microsoft Corporation and Sony Corporation each accounted for more than 10% of our consolidated net revenues"
most likely in alphabetical order, unless amd also makes non xbox stuff for MS?

edit: Actually now I think about it, how can this be? Consoles are not going to generate as much revenue as >$1000 graphics cards

ok some digging later

https://www.tomshardware.com/news/jpr-q3-2021-desktop-discrete-gpu-shipments
So even though the average price of a graphics card is $1100, AMD only shipped 2.6-2.7 million in that quarter so a lot less than consoles, hmmm Im a bit surprised with that, you'ld be thinking they would prioritize the big revenue items.

NOTE: Im aware that amd also ships CPUs

 

[Shortbread]

We know Sony had already secured an initial order of 22 million chips for PS5, with more than 17 million already accounted for in PS5 sales. Is there any information on how many initial chips Microsoft was able to secure for XBSX|S? At the very minimum we know at least 11-12 million chips have been delivered between series X and S sales.

 

[Silent_Buddha]

So even though the average price of a graphics card is $1100, AMD only shipped 2.6-2.7 million in that quarter so a lot less than consoles, hmmm Im a bit surprised with that, you'ld be thinking they would prioritize the big revenue items.

There's no sales volatility WRT semi-custom SOCs. What Sony and MS contract for, AMD will sell to Sony and MS. GPUs OTOH, outside of the current crypto bubble, can suffer from high volatility WRT to sales. AMD in the past (Nvidia as well) has at times had massive stockpiles of GPU chips that weren't selling either due to the competition rendering them less desirable, rumors of a new generation softening sales, crypto bubbles collapsing, or any market downturn WRT gaming PC sales.

As a corollary to that while from a PR standpoint they need to hype up their GPUs as much as they can, they likely know that their GPUs aren't as competitive versus NV as they would like. That would further incentivize them to double down on the "safe" semi-custom business that they have with Sony and MS rather than risk making too many PC GPUs and then at some point having a massive stock of unsold GPUs in the warehouse. Sure, because of the crypto bubble we're currently in everything they make they would sell, but that bubble could crash at any moment as it has in the past and then they're left with a massive stockpile of GPUs (cash) just sitting there devaluing with every day that passes.

Regards,
SB

 

[AlphaWolf]

Where does it say that?
"approximately 54% of our net revenue, Hewlett-Packard Company, Microsoft Corporation and Sony Corporation each accounted for more than 10% of our consolidated net revenues"
most likely in alphabetical order, unless amd also makes non xbox stuff for MS?

edit: Actually now I think about it, how can this be? Consoles are not going to generate as much revenue as >$1000 graphics cards

ok some digging later

https://www.tomshardware.com/news/jpr-q3-2021-desktop-discrete-gpu-shipments
So even though the average price of a graphics card is $1100, AMD only shipped 2.6-2.7 million in that quarter so a lot less than consoles, hmmm Im a bit surprised with that, you'ld be thinking they would prioritize the big revenue items.

NOTE: Im aware that amd also ships CPUs

Are you aware that AMD doesn't get $1100 revenue from a product sold by sapphire?

As far priorities, do you really believe AMD is going to call up MS and Sony and HP and say we make more money from selling gpu's so we're gonna cut back on your allocation? That would go over like a lead balloon.

 

[PSman1700]

There's no sales volatility WRT semi-custom SOCs. What Sony and MS contract for, AMD will sell to Sony and MS. GPUs OTOH, outside of the current crypto bubble, can suffer from high volatility WRT to sales. AMD in the past (Nvidia as well) has at times had massive stockpiles of GPU chips that weren't selling either due to the competition rendering them less desirable, rumors of a new generation softening sales, crypto bubbles collapsing, or any market downturn WRT gaming PC sales.

As a corollary to that while from a PR standpoint they need to hype up their GPUs as much as they can, they likely know that their GPUs aren't as competitive versus NV as they would like. That would further incentivize them to double down on the "safe" semi-custom business that they have with Sony and MS rather than risk making too many PC GPUs and then at some point having a massive stock of unsold GPUs in the warehouse. Sure, because of the crypto bubble we're currently in everything they make they would sell, but that bubble could crash at any moment as it has in the past and then their left with a massive stockpile of GPUs (cash) just sitting there devaluing with every day that passes.

Regards,
SB

They seem to focus alot on SoC's for laptop devices which are increasingly popular in the gaming space now, mainly due to mining/pricing for dGPU's.

 

[zed]

Are you aware that AMD doesn't get $1100 revenue from a product sold by sapphire?

As far priorities, do you really believe AMD is going to call up MS and Sony and HP and say we make more money from selling gpu's so we're gonna cut back on your allocation? That would go over like a lead balloon.

Yes Im also aware that AMD dont get $299,$399,$499 for each xbox series or ps5 sold.
reallocation/changing deals goes on all the time with business, sure sony/MS wont be happy and may think seriously about doing further business with amd (but then again how many other options do they have?, bugger all)
they could try and take them to court which sometimes happens
I guess my point is I didnt realize how few discrete GPUs were made, I thought they were at least an order of magnitude more than consoles each year, but its a lot closer than that.

 

[AlphaWolf]

Yes Im also aware that AMD dont get $299,$399,$499 for each xbox series or ps5 sold.
reallocation/changing deals goes on all the time with business, sure sony/MS wont be happy and may think seriously about doing further business with amd (but then again how many other options do they have?, bugger all)
they could try and take them to court which sometimes happens
I guess my point is I didnt realize how few discrete GPUs were made, I thought they were at least an order of magnitude more than consoles each year, but its a lot closer than that.

Some terms are going to be built into those deals. You can't build a mass market product and have a key supplier say they are going to reallocate. They can probably renegotiate based on conditions but I expect there would be significant monetary penalties if they wanted cut their allocations significantly.

What % of new pcs actually ship with discrete graphics 10? 20? I can't imagine many people are checking off the $1000 option box.

 

[PSman1700]

I guess my point is I didnt realize how few discrete GPUs were made, I thought they were at least an order of magnitude more than consoles each year, but its a lot closer than that.

The laptop/and this APU market is very, very large now.

 

[zed]

What % of new pcs actually ship with discrete graphics 10? 20? I can't imagine many people are checking off the $1000 option box.

No idea I would of thought about a quarter

https://www.bestbuy.com/site/deskto...ps/pcmcat143400050013.c?id=pcmcat143400050013 <- seems about 15%
https://www.newegg.com/Desktop-Computers/SubCategory/ID-10?Tid=19096&Order=3 <- unless theyre lying then the best sellers seem to have descrete
other sites? hard to see whats the best selling on amazon (I've never liked that site)

OK found this, https://www.kitguru.net/components/...th-in-q3-discrete-gpus-now-in-over-32-of-pcs/

Over the course of the year, the GPU market has begun to rise, with discrete graphics cards in particular now found in 32.1% of PCs

So about a third of PC's have descrete graphics, though now apple will be moving away from descrete with their new chips

I guess I'm just surprised that the GPU market is only about 50 million units a year, thus with ps5/xbox series > 30 million units a year its actually a very sizeable fraction of GPU's (I was thinking its maybe 10-15% of GPU's)

 

[Shortbread]

NPD January 2022: #1 Pokemon Legends, #2 COD, #3 Monster Hunter ; PS5 #1 in Units + Revenue, Xbox #2 in Units + Revenue.

Per Welfare...

State of the market
January 2022 consumer spending across video game hardware, content and accessories declined 2% when compared to a year ago, to $4.7B. A double-digit percentage gain in hardware spending could not offset declines in content and accessories spending.

US NPD HW - Video game hardware dollar sales increased 22% when compared to January 2021, reaching $390 million. This is the highest total for a January month since the $447 million total reached in January 2009.

Hardware
PlayStation 5 was the best-selling hardware platform of January 2022 in both units and dollars. Xbox Series ranked 2nd across both measures.

Software
Pokémon Legends: Arceus was January's best-selling game. It joined Pokémon Brilliant Diamond/Shining Pearl (#11) on the best-selling titles chart for the month.

Monster Hunter: Rise (#3 in January, up from #94 in December) and God of War (#5 in January, #146 a month ago) both featured Steam launches during January 2022, which drove their respective gains.

Marvel's Spider-Man: Miles Morales ranked as the 6th best-selling game of January. Marvel's Spider-Man: Miles Morales now trails only Marvel's Spider-Man and God of War (2018) in lifetime dollar sales for Sony published titles since 1995.

Sensor Tower US Mobile - U.S. mobile game spending was down 6.8% year-over-year last month. This signaled a return to pre-pandemic revenue trends after the market witnessed unprecedented year-over-year and month-over-month growth throughout most of 2020 and 2021. Prior to spring 2020, January usually saw negative month-over-month growth, as was the case last month. In fact, January revenue generation saw a decline when compared to December for six consecutive years leading up to 2020.

-----------------------------------
In somewhat older news...

https://twitter.com/x/status/1490868951672573962

 

[BRiT]

Xbox Series X|S crosses over 150K in Japan.

https://twitter.com/x/status/1496862860932046850

 

[Deleted member 11852]

Xbox Series X|S crosses over 150K in Japan.

I am convinced that is Microsoft rebrand their device as the Ultimate Happy Box they will sell a lot more.

 

[Shortbread]

https://twitter.com/x/status/1498714936465264642

https://www.gamesindustry.biz/artic...console-market-grew-to-record-usd60bn-in-2021

Combined revenues from Xbox Live Gold, Xbox Game Pass, Xbox Game Pass Ultimate, PlayStation Plus, PlayStation Now and Nintendo Switch Online are estimated to account for 19% of all spending on games content.

Sony remains the market leader when it comes to driving spend, accounting for 46% of all revenues generated in the console market. Meanwhile, Nintendo's share dropped to 29% -- 2% less than in 2020 -- while Microsoft rose 1% to 25%.

 

[eastmen]

Looks like the console market is starting to even out. I wonder how long Sony can keep 46% of revenue generated. however it is interesting to note that Sony has $400/$500 hardware, MS has $300/$500 hardware and Nintendo $200-$350 hardwar. That is a big spread in terms of revenue being brought in.

 

[Nesh]

Xbox Series X|S crosses over 150K in Japan.

https://twitter.com/x/status/1496862860932046850

Japan is a place where size does matter. Towards the opposite direction that you would normally expect.

This has been pointed out during the PS2 era. Many japanese live in modest tight spaces. Smaller consoles are an additional benefit for them.
With Series consoles and Playstation consoles having almost the same games, it helps a lot to sell a bit more XBOX's when sizes come to play

 

[Goodtwin]

Japan is a place where size does matter. Towards the opposite direction that you would normally expect.

This has been pointed out during the PS2 era. Many japanese live in modest tight spaces. Smaller consoles are an additional benefit for them.
With Series consoles and Playstation consoles having almost the same games, it helps a lot to sell a bit more XBOX's when sizes come to play

Japan has trended towards portable platforms for years as well. Switch is killing it in Japan right now and the 3DS had done pretty well in Japan before that. Even the Vita, it did not do well globally, but in Japan the Vita put up some respectable numbers.

 

[BRiT]

EldenRing pulling monster numbers in the UK. It's showing physical media is nearly entirely dead for Xbox in the UK, with around 85% digital sales on Xbox. Overall sales breakdown of 41% PS, 30% PC, and 29% Xbox.

One thing I don't quite get is how they say PC sales was 73% Digital. Where does the other 27% come from on PC? I thought they've stopped physical sales decades ago.


https://www.gamesindustry.biz/artic...since-red-dead-redemption-2-uk-digital-charts

Elden Ring is the biggest non-FIFA or Call of Duty launch since Red Dead Redemption 2 | UK Digital Charts

Elden Ring is the biggest UK video game launch since Call of Duty: Vanguard, according to the latest digital and physical data supplied by GSD.

Its sales are 2.5x that of last week's big new release, PlayStation's Horizon: Forbidden West. In fact, it's the biggest game launch outside of the Call of Duty and FIFA franchises since Red Dead Redemption 2 in October 2018.

Its week 1 sales are bigger than Cyberpunk 2077 and Assassin's Creed Valhalla, which delivered significant opening sales back in 2020.

According to GSD's figures, digital downloads accounted for over 68% of Elden Ring's sales. Xbox and PC were the biggest digital platforms. Almost 85% of Elden Ring sales on Xbox were downloaded, and on PC it was 73%. For PS5 and PS4, the sales were just over 50% digital.

According to GSD's digital and physical numbers, 32% of sales were on PlayStation 5, 30% on PC, 29% on Xbox and 9% on PS4.

The sucess of Elden Ring means that Horizon: Forbidden West slips to second place this week in the combine charts, with sales down 80%. In the digital charts, it falls to No.3 behind FIFA 22.​

 

[BRiT]

One thing I don't quite get is how they say PC sales was 73% Digital. Where does the other 27% come from on PC? I thought they've stopped physical sales decades ago.

Mystery solved. As pointed out elsewhere, they have a Collectors Edition with some physical items and a PC Digital Code in the box.

 

[eastmen]

Pretty amazed that the xbox sold so much in terms of % of the total game sales.