AMD informed business partners regarding the price increase for “GPU + memory” kits

Recently, AMD has sent a notification to the graphics card manufacturers regarding the price increase for “GPU + memory” kits. If talking specifically, the kit's price for Radeon discrete graphics cards will be increased by 10 % starting from July of this year.

The price increase details 

The price increase will mainly impact the Radeon RX 9000 series; here, we are predominantly talking about RX 9070, RX 9060 XT, RX 9070 XT, and RX 9080. New changes in price have already been adjusted in ASUS, Sapphire, XFX, and Vastarmor.

The main reason for such a decision is the increase in the purchase price for memory chips. This is also connected with the shift to the high-bandwidth memory (HBM), which is now in higher demand for data centers and AI accelerators. Over the past year, the price of GDDR6 has risen to $7.50 per gigabyte, which has greatly impacted the price of graphics cards.

Similar challenges have already impacted Nvidia because of the GDDR memory shortage. However, as for now, there are no insights regarding the directives of the price rise.  

Samsung, Micron, and SK Hynix are those manufacturers that control nearly 90 % of the global DRAM market and have mainly switched to the production of HBM. This tremendously increases the price range for memory. Last week, it was reported that a class-action lawsuit had been filed against these companies with the accusation of collusion.

Starting from 2022, almost 25 % of production capacity was redirected to HBM, and these are huge numbers. Companies coordinated their efforts towards a more profitable HBM segment.

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