Nasdaq-listed computer chipmaker Nvidia may have generated $1.95 billion in its cryptotechnology business in total revenue as opposed to the $602 million it previously claimed, reports Business Insider. The company reported diminished earnings in November last year, blaming a drop in demand for the gaming chips used to mine crypto.
Royal Bank of Canada analyst Mitch Steves based his calculations on the total global hash rate between 2017 and 2018, which relies on graphics processing units, and concluded that "Nvidia's exposure to crypto should be higher than it revealed." While there is no way to confirm Steves’ calculations (and crypto inventories are notoriously difficult), he referenced how AMD's reported earnings last week were in line with his expectations. Steves believes Nvidia holds 75% of the crypto market share, while AMD is thought to occupy the remaining 25%.
Tech news website TechSpot explained that Nvidia may have been trying "to mask large fluctuations in revenue" in other areas of its business or to third parties, by diverting excess crypto funds there.