ASICMINER Blade Sales [Temporarily Out of Stock]

[PuertoLibre]

But we all know blades aren't selling for 50 BTC anymore.  They don't even sell for 40.  I think a reasonable price for a blade today is about 30 BTC.  So again, using above math, a reasonable price for an Avalon would be

30 BTC -> 12.5Gh/s
x BTC - > 85Gh/s

x = 204 BTC.  Still, twice as much as they are going for currently.

Half as much is the fair price?

Sounds like you are telling us that an Avalon at 100BTC is quite the sweet deal vs an ASICMiner Blade.

I have read that Avalon will soon catch up and have units for order. (not pre-order)

So it makes more sense to buy a stock Avalon than it does an ASICMiner blade.

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If the ASICMiner blades go on sale again for much less (say 10BTC) it would be in line with the proportions that you mentioned.

It sounds like FriedCat has a few arrows pointing in a certain price direction.

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[muyuu]

Greed dictates it will be BTC25...and will be the last time you see those 25 coins with 10gh/s.

About 35BTC for 15GH/s OC or so.

[nubbins]

I'm fine with throwing away single BTCs on toys, but once you get into double-digits, it's less of an impulse buy.

I'd purchase a blade at <BTC20, but that's the upper limit.

[Rampion]

At 10 BTC, they would be worth buying right now. Anything more, a waste.

Possibly, possibly a little less than that.

Agreed, if he priced them at 9BTC he would sell A LOT of them, resellers would do big orders. But I have the gut feeling he will give it a try at 20/25BTC, maybe he prefers to sell 300 at 25BTC than 1,000 at 9BTC

[muyuu]

I'm fine with throwing away single BTCs on toys, but once you get into double-digits, it's less of an impulse buy.

I'd purchase a blade at <BTC20, but that's the upper limit.

Don't lose sleep, there will be plenty of takers.

[PuertoLibre]

I'm fine with throwing away single BTCs on toys, but once you get into double-digits, it's less of an impulse buy.

I'd purchase a blade at <BTC20, but that's the upper limit.

Don't lose sleep, there will be plenty of takers.

Suckers...is probably what you mean.

[-Redacted-]

At 10 BTC, they would be worth buying right now. Anything more, a waste.

Possibly, possibly a little less than that.

Agreed, if he priced them at 9BTC he would sell A LOT of them, resellers would do big orders. But I have the gut feeling he will give it a try at 20/25BTC, maybe he prefers to sell 300 at 25BTC than 1,000 at 9BTC

I think the numbers you mean are 60,000 at 25BTC instead of 100,000 at 9BTC.    You do the math....

[josh_nc]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

[ThickAsThieves]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

The only thing ASICMINER sells is hardware.

[kendog77]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

The only thing ASICMINER sells is hardware.

Right, but if they sell too much ASIC mining hardware, they will cut into their own mining revenue. That alone is enough for them to keep the price of blades high.

[seleme]

There is only one thing you can bet with AM if you are considering buying their products. You're going to be scared to death f ever making profit with any of those while AM will make a killing on any of those. If you hope for something different you're deluded.

[Wesly]

Right, but if they sell too much ASIC mining hardware, they will cut into their own mining revenue. That alone is enough for them to keep the price of blades high.

Actually it is the complete opposite.  Why would ASICminer brother with the logistic (setup, pay for power/space/maintenance) to mine themselves if they can receive instant 1-2 years worth of bitcoin mining profit from people who can't do or don't care about math?  In another words, why would anybody in their right mind turn down collecting 1-2 years worth of salary in advance today?  Especially when you tells them in 1-2 years you will either be out of a job or your salary will be 1% of what you will be earning today for doing the same task (The current generation of ASIC useful life ends when difficulty increase 100 times in 1-2 years)?

[josh_nc]

Right, but if they sell too much ASIC mining hardware, they will cut into their own mining revenue. That alone is enough for them to keep the price of blades high.

Actually it is the complete opposite.  Why would ASICminer brother with the logistic (setup, pay for power/space/maintenance) to mine themselves if they can receive instant 1-2 years worth of bitcoin mining profit from people who can't do or don't care about math?  In another words, why would anybody in their right mind turn down collecting 1-2 years worth of salary in advance today?  Especially when you tells them in 1-2 years you will either be out of a job or your salary will be 1% of what you will be earning today for doing the same task (The current generation of ASIC useful life ends when difficulty increase 100 times in 1-2 years)?

Wesly, you should like Esher.

[ThickAsThieves]

Right, but if they sell too much ASIC mining hardware, they will cut into their own mining revenue. That alone is enough for them to keep the price of blades high.

Actually it is the complete opposite.  Why would ASICminer brother with the logistic (setup, pay for power/space/maintenance) to mine themselves if they can receive instant 1-2 years worth of bitcoin mining profit from people who can't do or don't care about math?  In another words, why would anybody in their right mind turn down collecting 1-2 years worth of salary in advance today?  Especially when you tells them in 1-2 years you will either be out of a job or your salary will be 1% of what you will be earning today for doing the same task (The current generation of ASIC useful life ends when difficulty increase 100 times in 1-2 years)?

There is a logical answer to all of this.

1. ASICMINER's farm acts as security for the network, it quite literally insures their hardware sales business by being as big or bigger than any other threat.
2. In much the same way, as AM increases the size of their farm, they increase demand on their hardware sales due to rising difficulty. A dangling carrot.
3. The farm provides predictable revenue, something hardware sales may not always provide.

[kendog77]

Right, but if they sell too much ASIC mining hardware, they will cut into their own mining revenue. That alone is enough for them to keep the price of blades high.

Actually it is the complete opposite.  Why would ASICminer brother with the logistic (setup, pay for power/space/maintenance) to mine themselves if they can receive instant 1-2 years worth of bitcoin mining profit from people who can't do or don't care about math?  In another words, why would anybody in their right mind turn down collecting 1-2 years worth of salary in advance today?  Especially when you tells them in 1-2 years you will either be out of a job or your salary will be 1% of what you will be earning today for doing the same task (The current generation of ASIC useful life ends when difficulty increase 100 times in 1-2 years)?

Most normal manufacturers would price items to maximize the profit associated with selling the product. My point was that ASICMiner has zero incentive to price blades low enough that they sell like hotcakes because bulk sales would cut into their mining revenue too much.

For example, I suspect that ASICMiner would sell a lot more blades (and make more total profit) at 10 BTC than they would at 25 BTC, but they will likely price them at 25 BTC and simply sell less of them.

[Rampion]

At 10 BTC, they would be worth buying right now. Anything more, a waste.

Possibly, possibly a little less than that.

Agreed, if he priced them at 9BTC he would sell A LOT of them, resellers would do big orders. But I have the gut feeling he will give it a try at 20/25BTC, maybe he prefers to sell 300 at 25BTC than 1,000 at 9BTC

I think the numbers you mean are 60,000 at 25BTC instead of 100,000 at 9BTC.    You do the math....

No, i dont mean those useless numbers. They didn't sell a thousand blades at 50BTC, they won't be selling 60,000 at 25BTC. And the correlation you made between demand at 25BTC and demand at 9BTC is ridiculous. 9BTC is a price ANY miner would pay. 25BTC is a price that would be paid only by i) someone that doesn't care about ROI, ii) someone clueless or iii) someone looking for the greater fool to which resell the blade.

And before spitting nonsense numbers like "60,000 or 100,000" blades sold you do the math about what would that represent in terms of network hash rate and maybe you will realize how far from the reality are those numbers.

[scyth3]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

This is called conflict of interest, that is why their hardware will never ROI.

[twitami1]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

This is called conflict of interest, that is why their hardware will never ROI.

No, it's called smart business.

[scyth3]

Aren't you all forgetting a "little" detail in all of this price calculation? Asicminer mine! They sell shares of their mining. The devil is in the details...
Up to you now to connect the dots.

This is called conflict of interest, that is why their hardware will never ROI.

No, it's called smart business.

Never said what they are doing isn't smart. Just don't expect ROI if you are mining with their equipment.

[-Redacted-]

At 10 BTC, they would be worth buying right now. Anything more, a waste.

Possibly, possibly a little less than that.

Agreed, if he priced them at 9BTC he would sell A LOT of them, resellers would do big orders. But I have the gut feeling he will give it a try at 20/25BTC, maybe he prefers to sell 300 at 25BTC than 1,000 at 9BTC

I think the numbers you mean are 60,000 at 25BTC instead of 100,000 at 9BTC.    You do the math....

No, i dont mean those useless numbers. They didn't sell a thousand blades at 50BTC, they won't be selling 60,000 at 25BTC. And the correlation you made between demand at 25BTC and demand at 9BTC is ridiculous. 9BTC is a price ANY miner would pay. 25BTC is a price that would be paid only by i) someone that doesn't care about ROI, ii) someone clueless or iii) someone looking for the greater fool to which resell the blade.

And before spitting nonsense numbers like "60,000 or 100,000" blades sold you do the math about what would that represent in terms of network hash rate and maybe you will realize how far from the reality are those numbers.

The point was simply to show that I can also pull numbers out of my ass  - numbers that compute differently than the numbers you pull out of yours.  Until you have insider information about ASCIMiner's sales numbers and profit margins - and we find out what the new pricing is - anything and everything is just speculation, nothing more.  Your made up numbers don't prove anything different than mine do.  

ASCIMiner/FriedCat is not stupid - he knows what he's doing and works to maximize his own profit - whether or not buyers can make some ROI isn't relevant from his end.