Project Gray delayed to 2013
We already talked about Nvidia’s Q1 earnings and the thin $60m profit on $924m revenue, but this could in part be blamed on 28nm shortages, as well as the Ivy Bridge dual-core delay, as it drive mobile Kepler sales.
Not too many people want bulky notebooks with quad-core processors, where the battery on your 17-inch screen lasts two hours, but with ultra-low voltage and standard voltage dual-core Ivy Bridge, battery life and demand should pick up, dragging Nvidia mobile GPU sales along for the ride.
We wanted to talk about Tegra 3 LTE that according to Nvidia CEO Jen-Hsun Huang is coming in the second half of the year. Jensen said “Looking forward, you'll see Tegra 3 LTE phones with partners' baseband processors in the second half of this year and then next year with our own LTE baseband processors as well.”
It is clear that the LTE won’t come from Icera acquisition at least not this year and not for Tegra 3 but in the future Grey processor in 2013 and many after that will have Nvidia based LTE to compete with Qualcomm’s all-integrated solutions.
What Jensen didn’t tell us and that our sources are indicating is that Tegra 3 will get a bit faster, probably end up with Tegra 3+ name as it will be able to run at maximum clock of 1.7GHz opposed to 1.5GHz today.
The ability to add LTE to Tegra 3, albeit with a third-party chip, will boost the company’s competitiveness in the US, as this market really wants LTE in any possible device. Almost 500 million people in Europe could not care less about LTE, and despite being available in many countries, people are not using it, don’t get excited about it, or want it.