GPU costs have beGPU prices have begun to rise again, despite the fact that they have been going lower for the past few months. The GPU market analysis from German firm 3D Center was released on Monday, and it indicates a modest increase in the pricing of Nvidia and AMD graphics cards after months of price declines for both companies.
According to the most recent data, Nvidia graphics cards have dropped from 150 percent of its indicated price to 159 percent, while AMD graphics cards have dropped from 159 percent to 164 percent. During the first week of August, AMD prices increased by 3 percent, while Nvidia prices continued to decline. The research shows that the GPU crisis is far from finished, despite the fact that Nvidia prices are already rising.
However, it is important to remember that 3D Center solely analyses German merchants, which means that these figures do not apply to retailers throughout the world (though, they have served as a good reference point). In addition, the RTX 3070 Ti, RTX 3080 Ti, and RX 6600 XT are not included in the price data. Due to the fact that these cards are newer and more expensive than the cards that appeared in 2020, the average price will be even higher as a result.
According to the site, a decline in supply of the oldest current-generation GPUs could be a contributing factor to the price hikes. The AMD RX 6800 is practically difficult to come by, and Nvidia’s entry-level RTX 3070, RTX 3080, and RTX 3090 cards have all suffered a decrease in stock availability in recent months.
The fact that Nvidia is pushing ahead with its Ti variations of these base Ampere devices makes sense, as does the fact that supply is running out. With the exception of the RTX 3090, every card in the RTX 30-series has been updated to include the latest features and specifications. Recent speculations, on the other hand, imply that Nvidia is building on an RTX 3090 Super for release later this year.
Overall, availability isn’t as much of a concern as it was at the beginning of the year 2021. Alternatively, it’s possible that Nvidia didn’t believe the problem would last for this long and decided to continue with the modified Ti variants rather than the base units. Now that those base models are being phased out, there isn’t any fresh inventory to replace them, which is causing costs to rise.
Mines for cryptocurrencies are the other possible explanation. In May, the prices of AMD and Nvidia graphics cards skyrocketed in tandem with the rise in the value of the cryptocurrency Ethereum. The price of Ethereum reached a plateau in June and July, but it is again on the rise once more. GPUs are still the most common mining equipment for Ethereum, and the alt-coin is expected to be a contributing factor to the cryptocurrency’s price rise.
On top of that, Nvidia CEO Jensen Huang recently stated that supply concerns will persist through the remainder of the year 2022. A situation similar to that which occurred during the first half of 2021 is possible as a result of a limited supply and a spike in cryptocurrency prices. Additionally, recent sources imply that chipmaker TSMC, which manufactures AMD RX 6000 GPUs, may boost prices this year, increasing the cost of graphics cards even more significantly.
There is no longer a shortage of graphics cards available; there are currently plenty to go around. Given the high demand from gamers and cryptocurrency miners, supply chain concerns continue to be a source of contention in the industry. The increased prices are also advantageous for scalpers, who are continuing to sell marked-up cards on the secondary market as a result of the increased pricing.
Hopefully, we will receive some good news before receiving any more awful news. Intel is working on its Arc Alchemist graphics cards, which are expected to be released in early 2022 and should bring additional graphics cards to a market that is desperate for them. The next-generation GPUs from AMD and Nvidia are also likely in the works, although we don’t know when they will be released at this time.
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