it cost Nvidia around £300 to make one. So according to the calculator : 1400-300 = £1100 in profit.
Really?
1GB of GDDR6 cost ~$11 to buy from Micron at production volumes around 6 months ago, GDDR6X will be more expensive as it requires 4 level signal detection which will need more transistors and complexity to implement. It's new, it's the fastest and Micron want to make a good profit too. You can easily be looking at $400 just to buy 24GB Ram @ cost price.
Assuming equivalent perfomance to TSMC's 7mm mature defect rate of 0.1 - 0.11 per square cm and with 623mm sq dia less than a third of chips are fully functional. Of those we have no data on how many of these can run at the required clock speed and stay within the thermal spec. Fully functional high spec dies are a premium. You want one.... you pay.
Then you have to build a ~20 stage VRM and cooling solution, the cooling solution is rumoured to cost $150
Then you are 'repaying' a chunk of the investment made to design the technologies used in the GPU. thousands of engineering, management, HR, PR salaries to make it happen.
You are paying upfront the cost of Nvidia engineers sitting in game design studios (at no cost to the designer) to make games run better on Nvidia so you get more from your card.
You are paying a share of the costs to run the DLSS training on a super computer, we know Devs are happy to release games that don't perform well, DLSS is a Nvidia competative advantage which you prepay for when you buy a GPU.
Then you have to price in returns an return handling costs which eat into profits.
Margin is not profit, any business the size of Nvidia has huge costs to pay to run and evolve, well beyond the simplistic gross margin on a single physical product. They actually made approx 16% net profit last year as not every investment repays.
Yes the 3090 is expensive, but it's the flagship so it's a high margin product.
Despite all the talk, AMD and Nvidia are locked in classic game theory. They both loose from a price war. Nvidia will tolerate AMD offering a little more value but wants to hold the performance crown at high end tiers hence the GA102 dies and space for Super / TI models. AMD won't push Nvidia too hard as they desperately need to maximise margin and volume so they have cash to invest in the future.