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Nvidia’s inability to hold the line on prices reflects how much leverage memorychip makers have amid the surge in demand for AI infrastructure
Some of Nvidia Corp’s biggest customers have been told that the prices of servers containing its artificial intelligence (AI) chips are going up more than 15 percent in many cases with memory costs soaring.The price hikes would go into effect on systems shipped early next year and impact systems including those with the flagship Vera Rubin and Grace Blackwell chips, people familiar with the process said on condition of anonymity. The increases would depend on the generation of Nvidia chips and the memory configurations, they said.
The logo of Nvidia outside the corporation’s headquarters in Taipei is pictured on May 20.
Companies who build the servers under contract for large data center operators such as Microsoft Corp, Alphabet Inc’s Google and Oracle Corp have notified their customers of the forthcoming increases, the people said. The inability of the industry’s most dominant company to hold the line on prices or absorb rising costs shows how much leverage makers of memory chips — Samsung Electronics Co, SK Hynix Inc and Micron Technology Inc — have amid a surge in demand for AI infrastructure.
