By Hassan Mujtaba
Publication Date: 2026-04-14 23:55:00
The failure rate of NVIDIA’s 16-Pin connector GPUs should be the primary reason why the company’s warranty claims have increased by 1000%.
With A Share of Over 90% In The Discrete GPU Segment, NVIDIA Witnesses A Massive Surge In Warranty Claims That Could Be Linked To Its New 16-Pin Connector Products
NVIDIA’s warranty expenses have seen a drastic rise over the past three years, as Warranty Week reports an unusual rise in the company’s warranty claims and accrual rates. It is reported that NVIDIA’s warranty claims increased ninefold, whereas AMD’s warranty claim rates increased by two-thirds during the 2024-2025 period.
The biggest story from last week’s newsletter “Top 100 Warranty Providers of 2025” was the steep and rapid rise in GPU manufacturer Nvidia’s warranty expenses. From 2024 to 2025, Nvidia’s warranty claims and accrual rates both more than doubled, as did the end-balance of its warranty reserve fund.
Nvidia’s close competitor Advanced Micro Devices, or AMD, also saw significant increases in warranty metrics, with its claims rate and warranty reserve end-balance both increasing by two-thirds.
via Warranty Week
NVIDIA’s warranty claims hovered around $100 Million during 2022-2024 ($81 million in 2024), but in 2025, the company paid $894 million in warranty expenses alone. That marks a 1000% increase.
To put things into perspective, for 2025, the…
