NVIDIA Paid Out 1000% More for Warranties in 2025 Compared to 2024

It’s no secret that since the RTX 40-series GPUs launched, pushing the new 12VHPWR connectors to new heights, and again increasing power draw with the RTX 50-series, that premature failures have been high. However, Warranty Week has quantified NVIDIA’s warranty expenses and total warranty claims, finding that the GPU maker saw a 1000% year-over-year increase in warranty expenditure in 2025. According to the analysis, NVIDIA paid out a whopping $894 million in warranty claims in 2025, compared to just $81 million in 2024. Part of the driving force behind the increased warranty payments is the recent spike in hardware prices, but much of it also has to do with increased warranty rates.

The analytics firm reports that NVIDIA’s warranty claim rate rose to as much as 0.9% by Q4 2025, compared to just 0.17% in Q1. Although not quite as drastic, AMD, for its part, also saw an increased warranty rate, with rates climbing from 0.43% in 2024 to 0.68% in 2025. AMD’s 2025 warranty claims totaled to $238 million, compared to $110 million in 2024, amounting to an increase of just over 100%. By the end of 2025, NVIDIA had increased its warranty reserves from $416 million to $2.59 billion, whereas AMD increased its warranty reserve balance from $310 million to $597 million.