Taiwanese daily tech newspaper DigiTimes is reporting that prices of mid and high-end graphics cards are set for further price increases this quarter. The paper alleges that a limited supply of memory chips is driving the cost of manufacturing up, which could result in an across-the-board price increase of between $5-$20 for the likes of the GeForce GTX 1060 and the Radeon RX 580 upwards.
To make matters worse, supplies of graphics cards are also limited. The anticipated fall in demand from cryptocurrency miners hasn’t happened, and this is paired with a huge surge in demand from the Chinese market in order to be able to play PlayerUnknown’s Battlegrounds.
According to DigiTimes, graphics card vendors such as MSI, Asus and Gigabyte don’t believe the price increase will have a huge impact on demand for graphics cards. The cryptocurrency mining market should hold firm with its demand, although the gaming sector may be hit with decreased sales.
One thing’s for sure - we’re now up to a full year of overly inflated graphics card prices. On the one hand, this is great news, indicating the growing strength of the PC market. On the other, it’s really beginning to price out gamers. Couple it with the tripling of DDR4 RAM prices over the last two years and the cost of PC gaming is peaking at its highest point in years. We’re still holding out for the eventual drop in demand from crypto miners though, even if it feels like that day will never come.
All eyes will now be on the next generation of GPUs from AMD and Nvidia, and indeed whether they choose to take advantage of the high demand and limited supplies to jack up the prices further.