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UPDATE: Changing paragraph regarding Nvidia CUDA-based software that only works on GeForce hardware.

Nvidia Corp. said during a conference for financial analysts that the emergence of next-generation DirectX 11 application programming interface will not drive sales of graphics cards. The firm believes that general purpose computing on graphics processing units (GPGPU) as well as its proprietary tools and emergence of software taking advantage of these technologies will be a better driver for sales of graphics boards than new demanding video games and high-end cards.

DirectX 11 - Not Important

“DirectX 11 by itself is not going be the defining reason to buy a new GPU. It will be one of the reasons. This is why Microsoft is in work with the industry to allow more freedom and more creativity in how you build content, which is always good, and the new features in DirectX 11 are going to allow people to do that. But that no longer is the only reason, we believe, consumers would want to invest in a GPU,” said Mike Hara, vice president of investor relations at Nvidia, at Deutsche Bank Securities Technology Conference on Wednesday.

Nvidia believes that special-purpose software that relies on GPGPU technologies will drive people to upgrade their graphics processing units (GPUs), not advanced visual effects in future video games or increased raw performance of DirectX 11-compliant graphics processors.

“Now, we know, people are doing a lot in the area of video, people are going to do more and more in the area of photography… I think that the things we are doing would allow the GPU to be a co-processor to the CPU and deliver better user experience, better battery life and make that computers little bit more optimized,” added Mr. Hara.

There are several problems for Nvidia, though. While ATI, graphics business unit of Advanced Micro Devices, is about to launch its Radeon HD 5800-series graphics cards that fully support DirectX 11 in the upcoming weeks, Nvidia yet has not disclosed any plans regarding its DX11 GPUs, which means that in the eyes of computer enthusiasts the company is not a technology leader any more.

At present there is a lot of software that takes advantage of Nvidia’s proprietary CUDA software development and runtime environments, which provides numerous benefits to owners of Nvidia GeForce hardware now. However, such software at present is incompatible with open-standard DirectCompute 11 (DirectX 11 compute shaders) and OpenCL environments, which are supported by ATI Radeon HD 4000 and 5000 families of graphics processors in addition to Nvidia’s latest chips. Even though Nvidia has advantage in terms of higher amount of installed GeForce GPUs and at least some makers of software will decide to develop software using CUDA set of tools and aimed only at GeForce GPUs, the majority will settle with industry-standard DirectCompute and OpenCL, which puts all the interested parties – ATI/AMD, Intel, Nvidia, etc. – into the same boat, where there will be no advantage of exclusive software. It is not completely clear why Nvidia’s vice president of investor relations claims that DirectX 11, which enables next-generation GPGPU software through DirectCompute, will not catalyze end-users to upgrade their graphics cards.

Computing Performance More Important than Graphics Performance

Next-generation graphics processors will naturally not only outperform Nvidia’s and ATI current GeForce GTX 200- and Radeon HD 4000-series lines, but also offer support for future games, something, which is more than likely to catalyze many gamers – who usually buy high-end graphics cards for $300 or more – to upgrade their graphics sub-systems. The new graphics cards will allow to increase resolutions of video gaming and increase the amount of enabled visual effects.

Nvidia believes that in future computing performance will matter much more than graphics performance, which seems to make sense as forthcoming video games will demand a lot of purely computing power to process not only visuals, but also physics and artificial experience. Nevertheless, Nvidia seems to put a lot of hopes onto its proprietary technologies, such as CUDA, Stereo 3D Vision, PhysX and others. This is understandable as the aforementioned technologies allow Nvidia to differentiate itself. However, as all proprietary standards (3dfx Glide is one example), they may not continue to be on the leading edge in the longer term.

“Graphics industry, I think, is on the point that microprocessor industry was several years ago, when AMD made the public confession that frequency does not matter anymore and it is more about performance per watt. I think we are the same crossroad with the graphics world: framerate and resolution are nice, but today they are very high and going from 120fps to 125fps is not going to fundamentally change end-user experience. But I think the things that we are doing with Stereo 3D Vision, PhysX, about making the games more immersive, more playable is beyond framerates and resolutions. Nvidia will show with the next-generation GPUs that the compute side is now becoming more important that the graphics side,” concluded Mr. Hara.

Tags: Nvidia, Geforce, DirectX, GPGPU, ATI, AMD, Radeon, Evergreen, Cypress


Comments currently: 27
Discussion started: 09/16/09 06:06:12 PM
Latest comment: 11/30/15 11:10:53 PM
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In my country we have a saying: "The Fox who was unable to reach the grapes, said they were sour anyways..."
0 0 [Posted by: TAViX  | Date: 09/16/09 06:06:12 PM]

Well in my country we have a saying too : "ATI sucks anyways, lul"
0 0 [Posted by: Zippy  | Date: 09/16/09 07:26:02 PM]
- collapse thread

funny because i've never heard that saying, lul.
0 0 [Posted by: Countess  | Date: 09/20/09 04:13:27 AM]

Usual BullS**t from Jensen. Of course DX11 won`t increase sales of Nvidia cards, because they won`t have one.

Yes and of course everyone cares about video transcoding, convert your video to iPod. Yee that`s the main reason for people to buy 500+ dollar card.
0 0 [Posted by: Nameisis  | Date: 09/16/09 11:53:51 PM]

So they didn't talk about their series 300?

That's a bit strange, considering new Radeons are supposed to be out very soon.
0 0 [Posted by: robaal  | Date: 09/17/09 12:07:42 AM]

Plus ATI already does GPU acceleration for transcoding. Although it won't help from doing your own edit and stuff... It just transcodes the whole thing to a different format at a very speedy time.
0 0 [Posted by: goury  | Date: 09/17/09 12:35:02 AM]

TAViX, we have a similar saying, the cat which can't reach the meat, says that it was dirty anyway.

Where are you from actually?
0 0 [Posted by: sdkks  | Date: 09/17/09 02:58:14 AM]

LOL this smells like desperation on the part of Nvidia. ATI has the upper hand and here is Nvidia backpedalling. Shut up and figure out the new gpus already instead of spinning. Btw I am running 2 x 285 overclocked bfgs on my rig before someone accuses me of being a fanboy of ATI. I always go with what offers better performance and have no allegiance to any brand.
0 0 [Posted by: digitalrurouni  | Date: 09/17/09 09:03:24 AM]

Very strange from Nvidia,may be they dont have DX 11 card to offer.Ati HD video transcoding is faster than Nvidia in fact faster than any AMD or Intel CPU.With DX 11 i am sure ATI will add more speed.
0 0 [Posted by: Blackcode  | Date: 09/17/09 09:29:21 AM]

Anton, you better remember this article because in a few months from now, Nvidia will be claiming that DX11 is all-important with their GT300 cards!

Nvidia's just saying it now to hurt ATI, and Nvidia thinks that with their greater marketing power, they will have no problem turning the mindset around in making us think that we need their new GT300 cards for DX11 games.
0 0 [Posted by: Bo_Fox  | Date: 09/17/09 07:06:57 PM]

I think you guys are missing the point. Hara was likely saying that DX11 is only one facet of next gen, people also need to consider their graphics card is capable of of making their PC a supercomputer for things like video transcoding and processing, or adding higher levels of immersion through proprietary techs like PhysX and 3dVision.

NVIDIA Focus Group
0 0 [Posted by: TheRealRollo  | Date: 09/18/09 04:11:05 PM]
- collapse thread

yes. and dx11 (and openCL) is a very important step in that direction, but WITHOUT the propitiatory technology that only works on a nvidia or ATI card, but on both.

physx, AI, transcoding ect will all be possible using dx11, and developers will now be interested in them because they will be work on all hardware.
0 0 [Posted by: Countess  | Date: 09/20/09 04:18:27 AM]
We are, probably, not missing any point.

I am not a telepathic to undestand exactly what Mr. Hara meant to say.
0 0 [Posted by:  | Date: 09/20/09 06:54:41 AM]

Sorry Rollo but nobody is buy high end GPU because it can do video transcoding faster. DX11 is more important for buyers, even though there are no games and won`t be in near future that are based on DX11 engine. Plus PhysX doesn`t matter it`s either in crap games, or damages gameplay (UT mod pack) or it doesn`t realy add much effects. And 3D vision is overpriced once price of those glasses and screens go down then we can consider it.
0 0 [Posted by: Nameisis  | Date: 09/19/09 05:42:21 AM]

Ahh the classic art of missdirection! Put your fanboy opinions aside and look at the business aspect. Bo Fox is correct on this. Nvida does not have its GT300 part ready, and its rumored they wont until november. The idea is to get people to hold onto thier money instead of buying the AMD card. Cast enough doubt in their mind, or baffle them with glitter, and they just might do it. If the shoe were on the other foot AMD would be saying the same thing. Lets face it people. Only one monitor on the market currently supports Nvidias 3d vision,and Cuda and physx is not even used by 99% of the average users. As several users already pointed out, what sells $400-$500 enthusiast gaming cards.......i'm gonna go out on a limb on this one and say..........PRETTIER GAMES!
0 0 [Posted by: HercTNT  | Date: 09/20/09 05:34:51 PM]

I am sure that many people except Nvidia fanatic fun ,understand Nvidia message."You know we are not ready with DX 11 card yet ,so ppls dont use DX 11 card until Nvidia start produce them.Very cheap propaganda that is acceptable only for kids.
0 0 [Posted by: Blackcode  | Date: 09/21/09 12:15:54 PM]

Haha, that is a very ironic thing for you to say, because it seems you've bit into some sour grapes their buddy. I know that your mommy could only afford to buy you one card and that if you don't believe that card is the very best one then you cry on the inside where you are soft like a woman. It is ok.

Anyway, to any non-retarded Nvidiot fanboy (I've owned Nvidia gpu's almost exclusively for the last 10 years -two ATI cards) this should be an obvious sign that you won't be seeing GT300 until December, or maybe even January.

ATI is where it is at this go around. Love it guys, because you can get way more gpu power for your dollar than ever before and it is all thanks to healthy competition.
0 0 [Posted by: Shab  | Date: 09/22/09 04:38:36 AM]

I have got to say it's very disappointing that Nvidia will not have any DirectX11 cards, I do love Nvidia's cards, and I love the 3D Vision, and I will probably end up sacrificing the extra performance the 5870 achieves, for 3D gaming..

but seriously, Nvidia is going to go bankrupt, not many people are aware of 3D Gaming, and so they just go with the fastest video card, so considering a large amount of people don't know about this, they are going to go on NCIX, and see that the latest ATI card, gets 20 fps faster than the GTX 295, AND, it's DirectX11, AND it's like $200 cheaper...

I'm not saying they should go with ATI because of that. but take a look on youtube for 3D Vision, hardly anyone has any videos talking about it, they should, but they don't.

Nvidia is probably going to go crawling to the government for a bailout because of this.

I'm telling you if Nvidia came out with a card before I give up and go with ATI, that had DirectX11, and 3D Vision, I'd go for it, but I'm not going to friggin wait for Nvidia to wait for the market to warm up, or whatever they have in mind..

I know they know how to make DX11 cards, they understand video cards just as much as ATI does, maybe even more. So what's the holdup?

not even any news about a DX11 card in the works.. NADA!.

Nvidia is seriously going to loose ALOT of business from the people that are unaware of the advantages of getting an Nvidia card, and only hear about DirectX11, and only care about high frame rate, and saving money.

To these people, ATI will give them just that.
0 0 [Posted by: fastz28camaro1981  | Date: 09/23/09 01:16:38 AM]

Advantages are subjective depending on what the person is using the card for. Their is no doubt that both Ati and Nvidia make great products. Speed is not everything, PRICE IS! Here is what alot of people are not getting. Forget about ATI's and Nvidia's cute proprietary technologies that 1% of the population use. If you can buy a video card, or cpu, or whatever else that has comparable or better performance than the competitor.............Wouldnt you?! How many of you actually go out looking to spend $200 more on something thats 5% faster......for what.....bragging rights?! If you are, you dont get, and never will. I buy whoever gives me the best card, for the most reasonable price, that will allow me to play my favorite games with good quality.
0 0 [Posted by: HercTNT  | Date: 09/24/09 01:45:07 PM]

At this time development of a DX11 card ofcoarse is important but for the love of ..........
Will all these "chicken little's THE SKY IS FALLING!!!"
STFU already.
DX11 is not going to make you crap FPS it is not going to BLOW YOUR MIND!!!! do any of you people really even know wtf DX11 truly does? have you reeeeaaaally read and more importantly UNDERSTOOD what it will do??
Not all but many of you think Tessellation is a porn site probably.
ATI got a great card priced fair thats going to the next level?? wonderful when I need it I'll buy it.
Nvidia got a great card thats going to the next level?? wonderful I'll compare the 2 and make a choice.
BUT STOP ACTING LIKE DX11 IS GOING TO BRING WORLD F'ing PEACE and make your Shwanz grow and move out of your moms basement.. hell maybe even bed Meagan fox since we are pretending the SAVIOR has arrived in the form of DX11.
0 0 [Posted by: Atech66  | Date: 10/04/09 07:31:10 AM]

Yes it will. Proof? I was about to but the new Toshiba Qosmio x500. But I postponed the purchase when I discovered that the GPU inside (NVIDIA® GeForce® GTS 250M) Does Not Fully Support the New Features of Directx 11. Shame for a brand new notebook with an arsenal of high end technologies.

I'll wait until the Qosmio brings out a new model with a GPU (nvidia or ati) fully supporting Directx 11 with all it's new features, like full hardware tessellation support for example.

note: Ati will release one next year. (for notebooks, they already brought the 5800 for desktops).
0 0 [Posted by: nomailx  | Date: 10/29/09 05:47:34 AM]

It won't be long until you have to put a heatsink fan as big as the one on your CPU to cool these "GPGPU"s down. It will leave no room for any other PCI-e, or PCI card in your system!!
0 0 [Posted by: jamanderson245  | Date: 12/07/09 05:18:02 AM]


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