Video card prices are rising again, contrary to expectations of normalization

Recent pricing survey revealed that AMD and NVIDIA graphics card prices rose by up to 9%

Going against recent expectations, prices for AMD RX 6000 and NVIDIA RTX 3000 GPUs are on the rise. According to a market survey conducted by the 3DCenter website, the price of NVIDIA products increased by 9%, while on the AMD side the increase was slightly lower, reaching up to 6%.

The recent rise in prices puts graphics cards at an even higher cost level, which has been rising for a long time. Currently the price of AMD graphics cards is 64% above the MSRP (Manufacturer Suggested Price), while NVDIA is 59% above the manufacturer’s suggested value.

Graph shows recent rise in prices of graphics cards from NVIDIA and AMD (Credits: 3DCenter)

The recent increase is still far from the peak in prices we had during the month of May, as we can see from the graph. Even so, the recent announcement that TSMC will increase the production cost of the chips is a strong indication that in the coming months the price of the hardware could continue to rise.

TSMC will increase 7nm chip manufacturing cost by 10%

According to the DigiTimes website, TSMC has plans to readjust the manufacturing cost of its wafers that use 7nm process by up to 10%, while 16nm wafer processes or larger could reach up to 20% for orders placed from December 2021. Even if companies like AMD and NVIDIA decide to absorb part of the cost change in TSMC chips, it’s very likely that the change will reach the end consumer.

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Even positive announcements like the recent price cuts for Xbox consoles as well as the Playstation 5 are at risk of being affected by TSMC’s announcement. Since both consoles use 7nm chips in their manufacturing processes. Even though Sony has already confirmed the implementation of 6nm chips for the Playstation 5, it’s hard to say how TSMC’s announcement will completely affect the console universe. Anyway, the rise in video card prices is a strong indication of difficult months for those looking to upgrade their PC hardware.


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Source: Techpowerup, 3DCenter