AMD is reportedly planning a broad graphics-card price increase of roughly 10 % due to global memory supply constraints. With AI demand pushing up memory costs and production bottlenecks emerging, the GPU market faces a tougher environment for holiday deals—and consumers may need to act sooner to avoid a new higher ...
It’s not a shortage if production is normal but some greedy assholes keep buying them all. It’s a racket.
Your entire premise is built on “if production is normal” and yet in the 2nd paragraph of the article (which you read, right?) it says that production isn’t normal.
Manufacturers are intentionally not ramping up to increase production to follow the demand because of the bubble risk.
So, the price increase is created by a supply-side problem because production isn’t normal.
The way I’m reading it, the supply is only constrained relative to the increase in demand. The article isn’t really clear on the matter, so it can be interpreted both ways
You’re exactly right.
The unusual thing here is that production is not following demand.
It isn’t the case that RAM manufacturers are unable to buy more RAM manufacturing equipment. They’re simply choosing not to invest in new RAM manufacturing equipment because, collectively, they seem to agree that the demand is a bubble which will collapse before the investment will break even.
Since that sector typically targets a 3-5 year payback window, it means that the market is not expecting demand to continue rising long-term.
The article is simply AMD pricing the bubble uncertainty into their product. We’ll likely see the Steam Machine have a similarly inflated price (and also due to tariff uncertainty)