NVIDIA has recorded a sharp increase in warranty repair costs for consumer video cards. According to an analytical report by Warranty Week, expenses increased by 1000% in just 12 months.
In 2025, the company spent $894 million compared to $81 million the year before. The share of warranty claims increased from 0.17% in the first quarter to 0.90% in the fourth quarter of 2025, indicating growing technical problems.
The main reason was the new 16-pin power connector. Cases of melting cables and ports, which were first reported after the release of the GeForce RTX 4090, persist in the RTX 50 series. However, it's not just about defects: repairing each card has become more expensive. The growth of the AI market has led to a shortage and a sharp increase in the cost of DRAM memory, which has increased the cost of components for services.
The problem also affected competitors, but to a lesser extent. AMD increased warranty repair costs from $110 million in 2024 to $238 million in 2025. This shows a general increase in prices for components, logistics, and duties. Both companies have frozen large reserves to cover future user requests.
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