Looking at the advantages, the 7800xt has:
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10% lower price
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4 more gigs of vram
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6% better raster performance.
The 4070 has:
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Better frame gen
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Better upscaling via dlss
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Better drivers
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Better rt performance
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CUDA for the few people that actually need it.
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Better power efficiency.
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The ability to use both dlss and fsr. If a game just has dlss, amd users are screwed.
All in all I think the AMD card is still the underdog based in advantages and needs to be at least 15% cheaper in order to sway buyers to team red. For just a $50 price difference, the team green advantages are too stacked imo.
Edit: this is of course in the US market. Every market is different.
there is no such thing as “selling as expected” in the industry my dude. You want to sell as much as possible. The fact that you are still selling an acceptable amount doesn’t mean you should rest assured. Just saying.
Pretty sure AMD is still limited by wafer supply, if AMD can scale up supply whenever they want, sure lets sell as much as possible, but desktop dGPU in terms of priority is quite low in comparison to supply for console and OEM.
They have a limited number of wafers from tsmc and they are selling through then so no issues
That’s not how business works. Margin matters, too, not just volume.
AMD is a company, not a sports team. They are in this to turn a profit. Investors don’t care if they chip away at Nvidia’s install base. They care if they make money.
You’re assuming that overall volume of profit will go down if they sell more at a lower price, which is VERY unlikely given the huge markups they have.
You’re ignoring that they have better things to spend silicon on than gpus. They could and are letting gpus idle while shovelling cpus.
“Selling as expected”, means AMD have a certain amount of wafer supply pre-ordered, and to go beyond that might encur costs they won’t recuperate.
AMD aren’t ready to beat nvidia this generation, most of their focus is on delivering Epyc backlog. Graphics is getting more R&D time and funding, but this is mostly for packaging knowledge and AI growth.
Packaging is AMD’s current bottleneck, and it doesn’t matter which wafers they use. From what I’ve heard, Epyc, Zen and Radeon chiplet designs get packaged using the same resources. And AMD would rather be packaging Epyc parts.