[News] Graphics Memory Prices Surge 30% in August, Could Affect Graphics Card Prices

[StyM]

https://www.techpowerup.com/236201/g...cs-card-prices

The DRAM industry is experiencing an acute shortage of various classes of GDDR memory (graphics DDR), which could affect graphics card prices come Holiday. Supplier quotes for various graphics memory components have risen by as much as 30.8% in August, from an average of USD $6.50 in July, to $8.50. Top graphics memory suppliers Samsung and SK Hynix have committed a bulk of their inventories to manufacturers of servers and mobile handsets, which triggered the price rally. Samsung is the largest supplier of graphics memory, with a 55 percent market-share, followed by SK Hynix at 35 percent, and Micron Technology at 10 percent.

[iddqd]

Oh, they're probably just price fixing again.

[KiSUAN]

I represent a mayor brand for my country, in august 2016 the 8GB pendrive price was 2.5 dollars, today 4 dollars, 64 GB pendrive 14 dollars, today 23 dollars, 8GB DDR4 2400 was 29,9, today 59, 16GB DDR4 55,5 dollars, today 114 dollars, 120GB SSD 35 dollars, today 50 dollars. This brand has no problem with allocation, supply, or whatever, memory prices are just being price fixed like .

[Sparky]

If people pay it, you can charge whatever you want.

Stop buying, price has to come down.

[madmaxx]

If people pay it, you can charge whatever you want.

Stop buying, price has to come down.

Most people are too stupid to understand how free market really works.

[zanzabar]

Most people are too stupid to understand how free market really works.

in this case you have two companies making the parts due to mergers, only samsung is desirable, and nether are selling the parts without a pre production contract. it is not a free market situation.

[iddqd]

This isn't exactly a model free competitive market - the goods are actually fairly inelastic; nor are the competitors' goods perfect substitutes for each other. Not to mention that there are only like 3 or 4 dramurai left. The situation at hand more accurately resembles another economic model: the oligopoly. Characterized by relatively few vendors, the decisions made by one vendor are easily monitored by all their competitors, and thus affect the entire market for that good. Collusion becomes common, as the vendors quickly realize that there is more money to be made by artificially inflating prices and restricting supply - in other words, attempting to operate the same way as a monopoly would.

[xlink]

This isn't exactly a model free competitive market - the goods are actually fairly inelastic; nor are the competitors' goods perfect substitutes for each other. Not to mention that there are only like 3 or 4 dramurai left. The situation at hand more accurately resembles another economic model: the oligopoly. Characterized by relatively few vendors, the decisions made by one vendor are easily monitored by all their competitors, and thus affect the entire market for that good. Collusion becomes common, as the vendors quickly realize that there is more money to be made by artificially inflating prices and restricting supply - in other words, attempting to operate the same way as a monopoly would.

memory is PRETTY close to perfectly substitute.

If you're Dell you don't care very much if you've got Samsung, Hynix or Micron ICs. Most consumers don't either.

Same goes for NAND.

[zanzabar]

memory is PRETTY close to perfectly substitute.

If you're Dell you don't care very much if you've got Samsung, Hynix or Micron ICs. Most consumers don't either.

Same goes for NAND.

it does matter what brand it is for GDDR, and it also does matter for nand in nvme/UHS devices. bulk ram, emmc, and sata SSD nand dont really matter, but that is not really where the price gouging is happening.