Nvidia reportedly told Massdrop to expect GPU prices to increase until Q3 2018

In recent months PC gamers have been hit hard by shortages of both system memory and graphics cards shortages, increasing the cost of both products significantly, which combined with increased demand for GPUs from Cryptominers has caused prices to skyrocket, particularly in regions where electricity is cheap.  

Now Massdrop has reported that sources within Nvidia have stated that “pricing will continue to rise” until Q3 of this year, which means that a solution for today’s shortages is still a long way off.  

The price increase of GPUs is due to two factors, firstly there is the supply of memory, limiting the amount of memory that can be purchased by GPU manufacturers while simultaneously increasing the cost of said memory. This memory shortage prevents GPU makers from simply creating more GPUs to sell, while also increasing the material cost of manufacturing a GPU. 

Secondly there is demand, with both Cryptocurrency miners and gamers both fighting to access the same product, which combined with already constrained supply has caused GPU prices to skyrocket. These two reasons are why it is difficult to purchase a GPU at its MSRP these days.