Nvidia could axe 16GB RTX 5060 Ti production due to tightening memory supply
New report claims that Nvidia could axe 16GB RTX 5060 Ti production amid tightening GDDR7 memory supply
Rumour has it that Nvidia plans to halt production of its 16GB RTX 5060 Ti GPUs due to its tightening supply of GDDR7 memory modules. This news follows claims that GDDR7 memory shortages could force Nvidia to cut overall GPU production by 30-40% in early 2026.
Nvidia’s 8GB RTX 5060 Ti will remain available as its low-mid tier GPU option. Only the GPU’s 16GB model will reportedly have its production halted. Why? It uses twice as many memory chips to produce. Using the same memory, Nvidia could build two RTX 5060 8GB GPUs or a 16GB RTX 5080 GPU. If Nvidia’s memory supply is tight, it’s best to allocate it to more profitable products.
Why is GDDR7 memory supply tightening?
DDR5 memory prices have surged, and DRAM producers are working to capitalise on the situation. Since most modern DRAM is built using the same technology, DRAM producers are allocating more resources to DDR5 production at the expense of other memory types. For GDDR7, production is now being deprioritised in favour of DDR5. This has created a shortage of GDDR7 memory, driving up its price. This is a win-win for DRAM producers, as they can now profit more from today’s high DDR5 memory prices while simultaneously raising the cost of GDDR7. It’s a clever move by DRAM producers, but a move that will harm the GPU market.
(Board Channels – Via Videocardz)
Why is the 16GB RTX 5060 being targeted?
If reports of an incoming GDDR7 shortage are accurate, Nvidia will want to allocate its memory to its most profitable products. This makes sense from a business perspective. However, this tactic will hit consumers hard. Nvidia’s RTX 5060 Ti 16GB is a much better product than its 8GB counterpart. Why? This GPU has enough VRAM to run modern games without compromises. Nvidia’s shift in production will force more consumers to purchase their 8GB GPU models.
It’s a bad time for PC gamers
DDR5 memory prices are already through the roof, and it is likely that these price increases will soon impact the GPU market. Manufacturers will prioritise GPUs with lower memory and higher-margin models with more memory. That’s bad news for gamers who want an affordable graphics card with plenty of VRAM.
With Nvidia reportedly reducing its GPU production, one has to wonder whether this will cause a GPU shortage. That could further drive up GPU prices, creating a doom loop of bad news for PC gamers and enthusiasts.
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