Graphics card market prices have continued to rise in the past two years, not only because of mine owners and scalpers, in the case of a continuous shortage of chip supply, upstream manufacturerS NVIDIA has also announced chip price increases, and these costs were once passed on to AIC manufacturers and system integrators. However, a new revelation said that this situation is reversing.
WCCFTech quoted sources as saying that NVIDIA has sent a notice to AIC partners that its GPU cost will be reduced by 8 to 12%. Considering that it will take some time for cost changes to pass to terminals (agent inventory buffer), retail prices are expected to fall significantly in the coming weeks.
Previously, fueled by the shortage of semiconductor supplies caused by the COVID-19 pandemic and the cryptocurrency mining boom, GPU prices have remained high for quite some time.
The good news is that with the cryptocurrency market sluggish and Ethereum scheduled to shift from Proof of Work (PoW) to Proof of Stake (PoS) later this year, consumers are finally on the verge of their first wind shift since 2020.
As can be seen from the market trend in the past 3 months, GPU prices have been steadily declining. When NVIDIA reduces costs for AIC partners by 8 to 12 percent, system integrators and the retail market will continue to lower prices for finished products.
Image courtesy of WCCFTech
Whether the supply situation will be alleviated depends on whether the mine owners will give up sustained profits. Even so, there are several factors that can help drive down GPU prices this year.
First, Samsung, which helps NVIDIA oem the RTX 30/40 series GPUs, is working to increase production capacity. Second, NVIDIA is also exploring the simultaneous use of TSMC's production capacity, and it is expected that wafer supply is expected to double.
It is worth mentioning that in addition to NVIDIA and AMD, intel ARC Alchemist monochrome will also be released on the market this year.
In summary, the supply situation will become better in the coming months (prices are expected to be steadily lowered), and the determined parties will not need to tearfully take over the mining card at a high price.
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