GPU vendors to raise prices in spite of falling demand.

GPU vendors to raise prices in spite of falling demand.

Sales of graphics cards continue to decline amid falling demand from miners of cryptocurrency. However, this fact does not prevent manufacturers to artificially inflate the price of equipment.

According to DigiTimes, warehouses Taiwanese companies Asus, Gigabyte, MSI and TUL crammed with graphics cards, however, firms do not reduce the amount of the gross profit, which currently is 20%. For comparison: in the beginning of last year this figure was much smaller - 8-10%. During the mining boom, companies have been able to increase the premium of up to 40-50%, but even taking into account the significant decline in demand, 20% the difference between revenues and cost of sales is too high.

Graphics card manufacturers plan to return to the traditional target audience - gamers, as the miners are reluctant to invest money in GPUs. It is unlikely that the situation will change in the near future, as cryptocurrency market is going through hard times and profit from production of digital assets may be reduced along with their value.

There was information that the engineers of the leading companies in the industry are working to create new generation graphics cards. This may explain the high prices companies are trying to squeeze the most out of existing inventory before the release of the new GPUs.

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