AMD raises Radeon GPU/Memory kit price by “at least 10%”
AMD reportedly raises its GPU kit prices for AIB partners
A report from Channel Gate, citing sources within AMD’s supply chain, claims that AMD will increase its Radeon GPU kit prices by “at least 10%” for its GPU partners. These price increases are due to come into effect in August, raising the price of newly manufactured GPUs.
AMD’s GPU kits are how GPU cores and memory are supplied to AMD’s AIB (Add-In Board) partners. It has been claimed that AMD wanted to implement this change earlier, but delayed the decision until Nvidia raised its prices. With the price of memory and silicon rising, this price increase could be seen as inevitable. By delaying their price increase until after Nvidia’s, AMD secured a temporary advantage over its rival.
AMD has notified AIB brand manufacturers of a uniform price increase in August.
According to information confirmed by AMD’s internal supply chain, AMD finalised a plan last month to increase the supply price of bundled GPU cores and memory, but did not immediately implement the price increase, choosing instead to postpone its implementation. This was mainly due to the current weak recovery phase in the consumer graphics card market, high price sensitivity at the end-user level, existing inventory still needing to be digested, and the fact that NV series graphics card prices have not yet increased. This was to avoid the risk of declining product competitiveness and market share loss from a hasty price adjustment during a period of demand pressure.
However, with the confirmed price increase for the NV series, AMD has notified AIB brand manufacturers that the price increase will be at least 10%, and all brands will officially implement the price increase uniformly starting next month. At that time, the price positioning is expected to be similar to that of NV series graphics cards.
– Channel Gate – Via Videocardz
It is currently unknown how these GPU kit price increases will impact the overall pricing of AMD Radeon GPUs. After all, there is more to GPU pricing than memory and silicon costs alone. Furthermore, it will take time for these newer, higher-cost GPUs to enter the retail supply chain. This means retail prices will only increase when these GPUs hit the market and existing, lower-priced GPU stocks are sold.
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