Post
Topic
Board Hardware
Re: ANTMINER S4 2TH/s, Batch 1 on Sale this week, shipping before Sept. Ends
by
kendog77
on 17/09/2014, 19:26:08 UTC
You idiots should stop funding Chinese mining farm.... seriously you think you can beat them?

For every S4 sold, it will fund 5x S4s for their farm.


Bullshit.

I don't believe for a second that Bitmaintech is making a huge profit on every miner they sell. Guy from Spondoolies, who knows a heck of a lot more about other manufacturer costs than you do, said that Bitmaintech's margins are very, very low in the post below.

https://bitcointalk.org/index.php?topic=521520.msg8516387#msg8516387

A bit of simple math proves that he is correct. A S3 currently sells at .58 BTC, which is ~$264 at the current BTC price of $455. Bitmain has non recurring costs for engineering and development, labor costs for assembly, facility overhead costs, material costs, taxes, and shipping costs. After everything is said and done, I would be surprised if they make a 10% profit on each S3 sold.

Bitmain is making their money by selling a lot of miners with a really low profit on each one.

As usual, they making money with units which hashing for them. If profit was small they wouldn't sell them and just drop everything to make as much btc as possible.

You want really cheap miner? Stop buying them and watch what will happen with price.

+1
I will let these idiots enjoying their dream of making money, trying to compete with 5cent/KWh. LOL


The cost to produce a miner is completely independent of whether or not it will ROI. Bitmain cannot control the network difficulty or price of BTC, and it is not their fault if miners can't do simple math and continue to over invest in mining hardware.

There is a floor to how low miner prices can do based on the cost to produce it, and if Bitmain can still manufacture and sell miners at a profit, they will continue to do so.

Bitmain does make quality products, but I also believe that their margins have to be pretty small at this point in time.

$500 BTC at a 30B difficulty is very bad for miners and miner manufacturers.