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Friday | September 17, 2021
The situation in the GPU market

The situation in the GPU market

This morning, we thought we were having a quiet start to the week. It is true that the news on hardware is relatively poor in recent days. That’s probably why some “mainstream” tech media decided to throw a scoop on GPUs: “Graphics card prices are finally dropping”,“soon the end of the shortage” or even better: the average price of most GPUs has plunged, getting closer to the recommended retail price.”

GPU: Back to normal ??? But where?

This is good news…Let’s check it in reality with a “simple” little graph: Evolution Prix GPU So as a “return to normal” you will see that we are experiencing an increase of “only” 91% on the RTX 30. Indeed, 91% increase is really not far from the MSRP, isn’t it ? 🙂 Finally, this graph and other studies like the one from ComputerBase, come from Germany, a market where, for various reasons that we have largely mentioned here, the average price is much lower than the French price. The situation in France is not as “favorable” as in Germany. espoir RDNA2

What is really going on with the price of GPUs?

For a few weeks now, we have been noticing a slowdown. There are several reasons for this:

  • Nvidia seems to put a lot of pressure on these partners to lower their margins.
  • The arrival of LHR chips implies that the “minor’s excuse” will disappear and will leave brands and distributors facing their responsibilities.
  • Demand drops: the beginning of summer and the massive deconfliction generates a drop in demand. This is a classic phenomenon that is recorded every year, and it is now amplified by the end of the sanitary restrictions. Basically, at this time, we think less about the PC and more about going out / restaurants / vacations. Brands and especially distributors are lowering prices to continue selling.
  • A more consistent supply since the release of the 3070/80 Ti especially for the 3060 and 3070. But again, when we say “consistent”, our reference is the month of January. The supply is still lower than the demand… But the compulsive buyers decided to switch without any moderation on a graphics card seem to have changed their focus. Some may add that cryptos are also in a steep decline…

How will the situation evolve?

soldout pénurie It is difficult to venture into this field. First of all, we do not know how demand will evolve. Let’s try to remain factual with the elements and reliable information we have.

  • The market for ram and particularly VRAM is in turmoil: prices have been rising for several months and this will be reflected in the graphics cards.
  • The founders who supply AMD and Nvidia (respectively TSMC and Samsung), have not discovered, by putting away boxes, new production capacities until now forgotten.
  • Our sources tell us that there will be a strong shortage of the 3070 during a part of the summer. At the same time, the price of 3060 is easing sharply.
  • The demand will mechanically fall, so we should no longer see, in the short term, a “phony” inflation.
  • Several changes in the crypto sector could “facilitate” things

It is difficult to conclude on a clear position. It seems that the crazy prices are behind us but the end of year holidays could revive the machine. Finally, the basic problem of this global shortage remains: production capacities are insufficient and things cannot change in a few months.

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OCC_FrTeam

Edited by Calliers

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