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Nvidia warranty payouts surged 1,000% last year, not that they can't afford it

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Why This Matters

Nvidia's warranty payouts skyrocketed by 1,000% in 2025, highlighting significant product quality and reliability challenges. This surge underscores the importance for consumers and the industry to monitor hardware durability and support practices. Despite the increase in claims, Nvidia's financial strength suggests they can absorb these costs, but it raises questions about product quality management.

Key Takeaways

Charts from Warranty Week indicate that Nvidia paid $894 million in warranty claims in 2025, an 11-fold increase from $84 million the prior year. Although the newsletter does not mention specific products, 2025 saw the release of the company's RTX 5090, which has well-documented power cable issues.Read Entire Article