Graphics card makers set to benefit in Q4 from strong global demand

Описание: Due to the rise of the stay-at-home economy, demand for computer graphics cards has been on the rise. Taiwan''s graphic card makers, like Asus and Gigabyte Technology, have seen sales climb since spring of this year. Growth is expected to continue into the fourth quarter.

They’re fully engrossed in the game on the screen. A good game needs a good graphics card, and the demand for those is through the roof. Since the second quarter, global demand for graphics cards has outstripped supply, benefiting Taiwan manufactures.

Wang Rong-syu
Stock analyst
Since the second quarter, graphics card sales have been excellent. It had nothing to do with new product launches. The main factor was the pandemic, which spurred demand for remote communication and stay-at-home products. Since the second quarter, consumer demand has been quite good. Graphics cards have sold very well since Q2.

One retail vendor says sales have been steadily rising, often exceeding 10 mid to high-end cards a day. In addition, the vendor’s customer base has expanded beyond esports players and graphic designers. Even amateurs have been willing to pay for advanced hardware.

Operator
With graphics cards, basically, some are used for games. Those can render higher resolutions. In comparison, lower-end graphics cards can’t support such high resolutions, so the game can feel laggy. Our main customer base is people involved in graphic design, who specialize in making graphics. Some other people might want to buy a graphics card for the novelty. Some others are techies.

Q2 is typically the low season for graphics cards, but that’s not the case this year. Global demand has been strong since spring. And with next-generation GPUs coming from Nvidia, traders have flocked to Taiwan graphics card-makers including Asus, Gigabyte Technology, and Micro-Star International.