Nvidia Tries To Cover Up Defective GPUs

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It has been confirmed that all Nvidia G84 and G86 chips are defective. Analysts first believed that it was only the batch that HP received that that were bad, but other sources say that the G84 and G86 use the same ASIC across the board, meaning there will be a lot more defective GPU’s than originally expected.

Part of the drama has also come from Nvidia’s unwillingness to admit that the problem is much larger than they initially expected. According to Charlie Demerjian from The Inquirer, Nvidia has been feeding personalized stories to each analyst, trying to disguise the magnitude of the situation. After recently announcing a decrease in projected second quarter revenues, which were initially in the $1.08 billion to $1.11 billion range and were lowered to the $875 million to $950 million range, their stock has taken a beating, losing over a third of its value. Additionally Nvidia will reportedly incur a loss of between $150 million-$200 million on the defective units. Other sources believe that the losses will be much greater, which would hurt the company’s already bruised stock.

This could be just the beginning of a very rough stretch for Nvidia. The G84 and G86 chipsets are used in a large variety of laptops including industry leaders such as HP, Dell, and Apple. Keep a close eye on Nvidia’s stock; if they don’t think of a solution quickly, it could very well suck up all the company’s cash for the quarter.

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    […] Nvidia tries to cover up defective GPU’s and All Nvidia G84s and G86s are […]

  • http://forums.ngemu.com/hardware-discussion/109528-my-first-laptop.html#post1420085 My First Laptop? - Emuforums.com

    […] says "significant quantities" of laptop GPUs are defective, stock tumbles – Engadget TechCrunchIT

  • http://msnmsn.net/computer-graphics-problem.html Laptops & Notebooks
  • Adrian

    I have a HP Pavilion DV9000 with a G84 defective GPU and i am p*ssed. I hope this problem will cost them hard. they deserve it.

    • RickyGold

      I have a HP dv6390 laptop. Due to the Nvidia GPU defect, they changed the mainboard in September 2008. Now (May 2009) the laptop has the GPU failure again and they will change the mainboard under warranty again. HP service is brilliant, I feel sorry for them. They really need to peel off the skin from Nvidia for that.

  • Nannerpuss

    My 8500gt in my desktop just died! Lots of colorful flickering squares cover the whole screen cant read anything not even the BIOS.

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