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0 pointswkat42421y ago0 comments

Yes and they get deep discounts which we don't. Can be 40% or more!

Of course the vendor can't make a profit with such discounts so they inflate the RRP. But we do end up paying that.

0 comments

That’s the main problem is a market owned by enterprise customers. Consumers don’t matter, there is zero interest is competing for them, they’re too little. The discounts is a killer for example, well have to buy from a reseller each time, who of course will pocket a good proportion of the discount because there won’t be many resellers that sell to consumers…

I have seen very large ent customers get 80% discount on hardware - it’s mind boggling that the vendor is not going bankrupt.

donavanm1y ago

Not specific for GPUs but I believe some of those giant and deeply discounted buys are at/below typical cost because of volume. They allow the vendor to increase their OEM/manufacturing commits, or shift bins theyre long on, to improve the rest of their sales pipeline. Similar for very large last orders or all the remaining stock of a SKU which improves cash flow and turns over inventory. Its a very very different vendor relationship with things like defect rates, yield, and “warranty” turned in to price factors.

wkat4242OP1y ago

> I have seen very large ent customers get 80% discount on hardware - it’s mind boggling that the vendor is not going bankrupt.

Yes exactly. When I see what we pay for stuff at work...

Obviously the vendors don't have 80+% margins. So what do they do? Inflate the RRP to compensate. So they can give a huge discount that sounds good on paper.

But this makes it unviable to buy for consumers that do have to pay RRP.

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