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Asus executive admits difficulty in addressing shortages in Graphics Processing Unit (GPU) inventory

Discussing Stock Issues with Asus's VP Kent Chien: A Look at Three Decades of Graphics Card Manufacturing

Asus executive admits struggling to address GPU supply shortages
Asus executive admits struggling to address GPU supply shortages

Asus executive admits difficulty in addressing shortages in Graphics Processing Unit (GPU) inventory

In the bustling halls of Gamescom 2025, Asus is celebrating a significant milestone - the 30th anniversary of its graphics cards division. Amidst the celebration, however, the company faces a challenging landscape - a persistent graphics card shortage that has been exacerbated by the unexpected growth in demand.

Kent Chien, the Corporate Vice President and General Manager of the Asus Multimedia Business Unit, has been at the helm of the graphics card unit since 2007. Under his leadership, Asus has navigated the ups and downs of the industry, including the current shortage that continues to affect the market.

According to Chien, the root of the problem lies in the limited capacity of semiconductor factories, which have been prioritized for AI applications. The unexpected growth in demand, attributed to the pandemic, people upgrading their PCs, and interest in 3D computing, has further strained the supply.

Despite the challenges, the revenue of gaming has grown significantly year over year, by around 40 to 50%. The demand has shifted from high-end to even higher-end models, specifically the 5070s.

In response to these challenges, Asus has initiated important updates and improvements for its products. The ROG Ally and ROG Ally X, for instance, have seen significant updates to better meet the needs of gamers in the current climate. However, specific measures directly addressing the shortage are not detailed in the available information.

Asus is also making efforts to persuade Nvidia, a key player in the graphics card market, to increase the production of GPUs for gaming. Nvidia, currently under pressure to provide more cards for AI and gaming, has faced challenges in meeting the demand due to its limited capacity in semiconductor factories.

To mark the occasion, Asus has set up a temporary graphics card museum at Gamescom 2025. The museum showcases Asus' history and products in the graphics card division, offering a glimpse into the company's journey over the past three decades.

In a bid to shorten the shipping time, Asus is also preparing all necessary components for GPUs. However, getting an Nvidia RTX GPU or any GPU for that matter can still be a daunting task.

Despite the high prices, Chien believes that scalpers are no longer a significant issue. The high prices have likely deterred many scalpers from engaging in hoarding practices, making it slightly easier for consumers to get their hands on a GPU.

As the celebration continues, Asus remains committed to navigating the challenges of the current market and delivering high-quality graphics cards to its customers. The future may be uncertain, but one thing is clear - the demand for graphics cards is here to stay.

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