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Nvidia's Tegra Cost So Far: $2 Billion

By - Source: AsiaD | B 43 comments

Nvidia CEO Jen-Hsun Huang discussed his Tegra processors at the AsiaD conference and noted that the development of mobile smartphone and tablet processors is getting quite expensive.

In Nvidia's case, Tegra raked up a cost of more than $2 billion over the past five years, Huang said.

The cost for developing such a chip is likely to go up over time, Huang said, and is driven by an approach to come up with "something magical" and "unexpected" in every product generation. For example, while Kal-El will be moving to four cores, with one additional supporting core, the cores in the succeeding product generation will offer more performance and there will be a feature that catches Nvidia's rivals "off-guard", the executive said.

He also speculated that, as tablet and smartphone markets expand, they may segment and there may be reasons for companies such as Apple to actually buy third-party processors that accommodate the requirements of those segments.

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Top Comments
  • 27 Hide
    halcyon , October 22, 2011 12:47 PM
    ghnader hsmithotI dont know why everybody hates Nvidia.

    Everybody doesn't hate Nvidia
  • 16 Hide
    Anonymous , October 22, 2011 12:16 PM
    I want photo-realistic games.
  • 13 Hide
    kawininjazx , October 22, 2011 2:02 PM
    I am really looking forward to Tegra 3 before I pick up an Android tablet.
Other Comments
  • 16 Hide
    Anonymous , October 22, 2011 12:16 PM
    I want photo-realistic games.
  • 7 Hide
    ghnader hsmithot , October 22, 2011 12:30 PM
    I dont know why everybody hates Nvidia.
  • 27 Hide
    halcyon , October 22, 2011 12:47 PM
    ghnader hsmithotI dont know why everybody hates Nvidia.

    Everybody doesn't hate Nvidia
  • 7 Hide
    FunSurfer , October 22, 2011 12:54 PM
    Why is the article about Tegra and the photoes about Fermi and Tesla?
  • -7 Hide
    pyoverdin , October 22, 2011 2:00 PM
    Remember everyone, when Nvidia talks about "something magical" and unexpected it means 20% improvements in performance.
  • 6 Hide
    Wish I Was Wealthy , October 22, 2011 2:02 PM
    All technology costs money, but it depends on their profit margins if it's worth the effort to continue. So as long as they can make a profit, than you'll see them continue with this product line.
  • 13 Hide
    kawininjazx , October 22, 2011 2:02 PM
    I am really looking forward to Tegra 3 before I pick up an Android tablet.
  • 0 Hide
    Thunderfox , October 22, 2011 2:50 PM
    4 cores on devices that suck for multitasking is probably pointless. They need to concentrate on speed.
  • 4 Hide
    kyuuketsuki , October 22, 2011 3:21 PM
    Thunderfox4 cores on devices that suck for multitasking is probably pointless. They need to concentrate on speed.

    Multiple cores are not just for multitasking.
  • 1 Hide
    Pailin , October 22, 2011 4:21 PM
    I see Jen-Hsun Huang has learned to hold early samples at an angle where we can no longer see the wood screws holding it together xD
  • -4 Hide
    DjEaZy , October 22, 2011 4:22 PM
    ... what is Jen-Hsun Huang talking about?
    http://www.tomshardware.com/reviews/iphone-4s-a5-performance,3051-3.html
    ... and what is the use of great system specs, when you don't have a lot of software to back it up completely...
    http://www.tomshardware.co.uk/nvidia-android-tegra-honeycomb-huang,news-35606.html
    ... they need to go hand in hand... hardware and software... maybe the hardware with a bit more power, but for or with the software, that's utilizes it fully...
  • 4 Hide
    mt2e , October 22, 2011 6:41 PM
    Tegra 3 will make or break Nvidea's mobile aspirations in my opinion.
  • 0 Hide
    Anonymous , October 22, 2011 7:14 PM
    I dont hate nvidia but i also havent bought a nvidia card for about 4 years now.

    I was buying nvidia cards since the company started. They had the better value back when they were competing against voodoo. Had everything from the original tnt, to a 6600. After that however, ati has been offering the best bang for the buck. So my latest cards have all been ati.

    ATI has been executing better for the last few generations so they win my $s.
  • 0 Hide
    zybch , October 22, 2011 8:29 PM
    Remember, the Tegra has been around a LONG time since the Zune HD (still the best standalone media player you could get).
    It may very well have cost them $2b in development (under $200m/year) but they've made many hundreds of millions selling the current and previous generations and learned enough to be able to go forward with whats possibly the most powerful mobile chip family for some time.
    You gotta spend money to make money.
  • 3 Hide
    Anonymous , October 22, 2011 8:40 PM
    "Off guard" feature = It will play Crysis ! :) 
  • 1 Hide
    shompa , October 22, 2011 8:58 PM
    @Thunderfox An ordinary phone have 30-40 processes all the time. Therefore more cores will always means better performance. The multithreading problem is also a windows problems. Unix have been multithreaded since 1960is. Android/iOS uses *nix.
    Many OSes also have implemented special threading techniques like OSX Grand central dispatch that solves much of the threading problem.
  • -2 Hide
    shompa , October 22, 2011 9:05 PM
    mt2eTegra 3 will make or break Nvidea's mobile aspirations in my opinion.


    Nope. Tegra 3 is just a stopgap. Nvidia will be the only ARM vendor with quod core at 40nm. If Nvidia had delivered the chip on time they would have had a huge lead in performance. Now Nvidia will just have a couple of month lead before quod core 28nm A6 SoCs.

    Nvidia have many interesting and unique ARM products in the pipeline. The 64bit Denver ARM. 8 core/16 core ARMs.

    Nvidias Tesla/ARM strategy is the only thing that can save the company.

    I hope that AMD have an alternate strategy if the X86 market starts to fail. AMDs graphics division may be better then Nvidia, but it does not make money.
  • 0 Hide
    cookoy , October 22, 2011 9:08 PM
    apple buying third party processors? heck no, apple will buy the third party.
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