Supply Chain
Ongoing coverage on Supply Chain.
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Tim Cook says Apple price increases are 'unavoidable' due to memory crunch
Apple CEO Tim Cook stated that price increases for Apple products are unavoidable due to a global memory chip shortage. This 'RAMaggedon' is impacting the cost of components and will likely lead to higher prices for consumers.
SK hynix claims it will be able to triple its memory chip output by 2034, roughly 10 years sooner than first projected
SK hynix plans to triple its memory chip output by 2034, a decade earlier than initially projected, by constructing four new chip factories. While this expansion is significant, the company states that it cannot accelerate the timeline further. The increased capacity is expected to double within five years and triple by the new target date, though it offers little immediate relief for the current global memory crisis.
Nintendo fights Switch 2 scalpers in Japan with new restrictions – only fans with over 50 hours on premium Switch 1 games can buy multi-language consoles
Nintendo is implementing new restrictions in Japan to combat scalpers of its consoles, particularly the upcoming Nintendo Switch 2. Buyers must have at least 50 hours of playtime on premium Nintendo Switch games and can only purchase one console per account. These measures aim to ensure consoles reach genuine fans rather than resellers, especially as the Switch 2 is set to increase in price by $50 later this year.
Gaming Hardware Prices Are Likely Going to Go Even Higher, Say Analysts
Industry analysts predict that gaming hardware prices will continue to rise due to factors like RAM costs, geopolitical situations, and currency fluctuations. While some regions like Asia and MENA are showing resilience, Western markets are particularly affected by these price hikes. Experts suggest that a higher pricing floor for gaming hardware is likely, potentially shifting the industry towards subscription and cloud-based models.
Xbox's chief strategy officer says it's currently hard to meet console demand and suggests Microsoft is rethinking Project Helix approach
Xbox's chief strategy officer, Matthew Ball, stated that the company is struggling to meet current console demand due to production limitations and is rethinking its 'Project Helix' approach. Ball indicated that these supply chain issues are expected to persist for the next 2-2.5 years, prompting Microsoft to re-evaluate the future of the console model to ensure affordability and flexibility.
Gears Of War: E-Day PS5 promo refutes Microsoft's claims about Xbox exclusivity
An official Xbox podcast trailer for Gears Of War: E-Day briefly showed PlayStation 5 and Steam logos, contradicting Microsoft's claims of it being an Xbox exclusive. Despite Xbox's vice president of games marketing Aaron Greenberg denying a last-minute pivot, the inclusion of the PS5 logo suggests it was initially planned for the platform. This incident adds to confusion surrounding Microsoft's evolving exclusivity strategy for its first-party titles.
Issues and Activism
Sony and Amazon are investigating their supply chains for potential funding of armed conflict. Separately, confusion has arisen around a discount offer for Marathon Deluxe Edition, which provides bonuses to free-trial players without requiring the full game purchase.
New report claims Intel is 'struggling' to supply laptop CPUs based on its latest 18A node after speaking to…
A new report indicates Intel is facing difficulties supplying laptop CPUs manufactured on its 18A silicon node, impacting models like Panther Lake and the budget-friendly Wild Cat Lake. Industry contacts suggest a combination of factors, including TSMC's tight capacity and potential prioritization of server chips like Clearwater Forest, are contributing to the shortage.
Intel may be struggling to supply enough of its new chips
Intel is reportedly facing difficulties in supplying sufficient quantities of its new Series 3 chips, manufactured on its 18A process. The company's ability to meet demand from laptop manufacturers is in question.
We may learn the Steam Machine launch date very soon, as Steam's backend just got updated with a welcome tour
Valve has updated Steam's backend with a 'welcome tour' for the Steam Machine, suggesting its launch date and price may be revealed soon. This follows previous delays and uncertainty surrounding the PC-console hybrid's release. The article also touches on global supply chain issues impacting consumer electronics prices.
The RAMageddon hits home
Valve has significantly increased the price of its Steam Deck handheld due to ongoing global shortages and price hikes in RAM and SSDs. This move highlights the broader crisis in consumer hardware pricing, impacting not only handhelds but also PCs, consoles, and other digital devices. The situation may also drive further adoption of cloud gaming as a more affordable alternative.
This supply chain Sankey diagram for an Nvidia AI megachip is a handy guide to understanding just how easy it is to ruin…
A Sankey diagram from Veridion illustrates the complex supply chain for Nvidia's H200 AI megachip, highlighting components also relevant to common graphics cards from manufacturers like TSMC, Samsung, SK hynix, and Micron. The article discusses how disruptions or price increases from key suppliers can significantly impact the cost and availability of PC gaming hardware.
Steam Deck Sells Out Again Despite Staggering Price Hikes
The Steam Deck, including its OLED model, has sold out again shortly after returning to sale, despite recent price increases. Valve may be employing strategic inventory management due to rising component costs and potential shortages. The continued consumer demand suggests the handheld gaming device remains highly desirable.
Roughly 10 billion Pokemon cards were printed in the last year, which goes to show how bad the reseller situation is…
Despite printing approximately 10 billion Pokemon cards in the last year, availability remains a significant issue due to high demand and resellers inflating prices. Total card production has risen to 85 billion, yet acquiring both new and old sets continues to be a struggle for consumers.
10 Billion Pokémon Cards Were Printed Last Year — and It Still Wasn't Enough to Stop Shortages and Scalping
The Pokémon Company produced over 10 billion trading cards last year, bringing the total to 85 billion cards printed to date. Despite this massive output, shortages and scalping continue to affect the market.
If this breakdown of the full cost of producing your favourite graphics card is accurate, then prices for certain GPUs are going to make 64 GB DDR5 kits look cheap
A breakdown of graphics card production costs suggests that prices for certain GPUs, particularly high-end models, are set to increase significantly. Factors like DRAM shortages, increased wafer prices from TSMC, and rising shipping costs are contributing to these hikes, with some cards already exceeding MSRP and more price surges expected.
Nvidia says 'demand for AI infrastructure continues to expand at an unprecedented pace' but after speaking to…
Nvidia reports unprecedented demand for AI infrastructure, with its revenue soaring due to AI-focused hardware. However, experts offer mixed opinions on the future of AI growth, with some predicting a slowdown by late 2026 due to market saturation and pushback against data centers, while others foresee continued broad adoption across major companies driving GPU demand.
Samsung workers could be about to strike, potentially making GPUs, memory, and SSDs even more expensive
Samsung workers in Korea are threatening to strike, potentially impacting global production of memory, SSDs, and GPUs. The dispute centers on pay and bonus structures, with a potential strike involving over 43,000 workers that could reduce semiconductor output by 3-4%. The Korean government has intervened to ensure safety and production levels, but negotiations are ongoing.
I really hope you weren't considering a GPU upgrade this year, as Nvidia may raise the price of the already pricey…
Reports suggest Nvidia may increase the price of the RTX 5090 GPU by as much as $300 due to ongoing memory shortages impacting component pricing. This potential price hike, if true, will likely affect PC gamers. The AI industry's high demand for memory chips is a primary driver of the current supply crisis, with significant improvements not expected until 2028.
Nintendo president: Switch 2 price increases due to war on Iran and AI-driven memory crisis
Nintendo president Shuntaro Furukawa explained that the price increase for the Nintendo Switch 2 is due to sustained rises in component costs, driven by AI data centers and oil prices linked to the war on Iran. These factors necessitate maintaining a healthy earnings structure for the company's hardware business. Furukawa also highlighted the importance of strong software releases, like Pokémon Pokopia, in driving hardware sales and encouraging player transitions.
