NVIDIA reports lost profits, despite the early success of its Tegra line

NVIDIA reports lost profits, despite the early success of its Tegra line
NVIDIA has reported that both profits and revenues declined in the beginning of 2011, with revenue slipping 4% from over $1 billion last year, to $962 million this year. Still, second quarter is expected to bring a 4 to 6 percent increase of revenue from Q1.

Despite these not so spectacular figures, Jen-Hsun Huang, the company's president and CEO, remains optimistic and sees the mobile market as a wonderful opportunity for future business expansion: "With the Tegra super chip and the Icera wireless communication processor, we will offer our customers the two most important processors of the mobile computing revolution."

And we don't doubt their potential. While other companies are bringing their own dual-core processors to market, NVIDIA was the first. And they've gained valuable name recognition for their Tegra line in flagship devices like the Motorola XOOM, Motorola Atrix 4G and LG Optimus 2X devices.

So what does the Icera acquisition mean for their future success? Because Icera is a maker of baseband modem chips, NVIDIA will be able to offer a system-on-a-chip solution, which will prove very enticing to OEMs looking for a simple drop-in solution for their devices. But we know that while customers might develop loyalty towards an OEM or an OS, there's rarely any favoritism among components. So NVIDIA still has a long road ahead to defeat rivals like Qualcomm.

source: PCMag

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8 Comments

1. achilles

Posts: 54; Member since: May 27, 2010

The Xoom was having difficulty selling because it launched too expensive, and required a data plan if you didnt want to pay full price. The Atrix didnt sell as they hoped because it launched with crippled data speeds and was on a network that limits data use on a phone, which was marketed to be basically a computer, and had an expensive dock. I havent even heard of the 3rd phone named. It makes sense their profits are down.

2. Lucas777

Posts: 2137; Member since: Jan 06, 2011

the third one is the g2x... and yes, it does make sense their profits are down only becuase it was so overhyped... if it wasnt as overhyped this wudnt be as big of a deal... they are starting a brand new tech, they shudnt expect it to start of running

3. vantenkiest

Posts: 316; Member since: Apr 20, 2011

lets not forget that duel core isnt needed yet.. the os isnt even making use of both cores. so really its not a big deal however i do hear a of a change in that coming very very very soon

4. Lucas777

Posts: 2137; Member since: Jan 06, 2011

well ya it will of course advance to use it... probably both ios5 and ice cream will... and im crossing my fingers for dual core in mango...

5. vantenkiest

Posts: 316; Member since: Apr 20, 2011

mango does have a slight change to the cpu settings. so maybe.. cross them hard.. like they have to pee.

6. Lucas777

Posts: 2137; Member since: Jan 06, 2011

ehh thats to much for me... and i think it will... but we shall se on the 24th i think

7. catsrevenge

Posts: 1; Member since: May 13, 2011

The author of this article is an idiot, a moron ,to say the least ! How can he put such a negative heading on an article full of lies from top to bottom and get away with it??? Next time listen to the conference call, get your numbers straight and accurate before putting inaccurate numbers,figures,and negative rhetoric into print, fool ! Nvidia made a 27 cent profit for the quarter, NOT a loss. Tegra has just begun, you talk like it`s over and done with. Not to mention all the numerous products yet to be released all year long,teaming up with Intel, Apple, Icera. But do you need a serious education on the marketplace and what`s really going on out there brother.... peace,,,,,,,

8. E.J.Su

Posts: 25; Member since: Feb 14, 2011

Yeah, the headline totally painted a different picture.

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