TSMC saying chips made in US will cost 30% more

[Troezar]

Robber Barons. Mark my words, we aren't too far away from calls for the break up of a lot of these huge corporations. To much pain for voters will mean the politicians will act to save their own jobs, or someone else will offer to do it for them.

As Cat says if the prices rise, wages will have to rise to maintain the status quo. It doesn't always work like that though, and I suspect people will soon realise they are going to be worse off. Apparently in the 70's the cost of food was about 30% of income, and until recently it was only 10%, hence people feeling the rising prices.

 

[humbug]

Robber Barons. Mark my words, we aren't too far away from calls for the break up of a lot of these huge corporations. To much pain for voters will mean the politicians will act to save their own jobs, or someone else will offer to do it for them.

As Cat says if the prices rise, wages will have to rise to maintain the status quo. It doesn't always work like that though, and I suspect people will soon realise they are going to be worse off. Apparently in the 70's the cost of food was about 30% of income, and until recently it was only 10%, hence people feeling the rising prices.

The problem now vs the 70's is rents are 40% of many peoples income and household fuel bills are 30% of those peoples income, 25% of those household fuel bills is tax.

Many people in this country are destitute, its becoming the norm, and governments keep telling themselves it isn't so so that they keep spending on soft power to keep their feet under the globalists high table. Great Britain as a status, we can't afford it.

 

[CAT-THE-FIFTH]

Robber Barons. Mark my words, we aren't too far away from calls for the break up of a lot of these huge corporations. To much pain for voters will mean the politicians will act to save their own jobs, or someone else will offer to do it for them.

As Cat says if the prices rise, wages will have to rise to maintain the status quo. It doesn't always work like that though, and I suspect people will soon realise they are going to be worse off. Apparently in the 70's the cost of food was about 30% of income, and until recently it was only 10%, hence people feeling the rising prices.

Well these greedy companies could always lower their record margins couldn't they? Oh wait,even if they had 100% net margins it won't be enough,because next year they will need to make 101% net margins because the stock market speculators said they need to and so on. So even if you raise prices,they will continue to push down on wages,paying taxes,etc. That is the only way to keep those fat margins increasing,right? I told people for years this was going to cause problems - only now the money tap has been turned off,and interest rates have gone up now people can't borrow as easily. Suddenly people are realising how little money we have in our pocket.

Private enterprise has existed for 1000s of years,but stock markets have barely existed in their modern form for a few 100 years(and even then they didn't affect all industries). Except now everything is run around short term margin gain. Countries like China,etc are more concerned about keeping their people employed and have nationalistic views about being self sufficient. Their playing of the global stock markets is for their own longterm gain. They are not the only country thinking like this.

The problem now vs the 70's is rents are 40% of many peoples income and household fuel bills are 30% of those peoples income, 25% of those household fuel bills is tax.

Many people in this country are destitute, its becoming the norm, and governments keep telling themselves it isn't so so that they keep spending on soft power to keep their feet under the globalists high table. Great Britain as a status, we can't afford it.

Even the help the governments are giving is going right into the pocket of these companies. But then why did we 100% privatise our oil,gas,etc instead of the public owning some of it. The resources are being extracted from UK land.

Saudi Aramco is one of the biggest companies in the world,and is owned by the state.

 

[humbug]

Well these greedy companies could always lower their record margins couldn't they? Oh wait,even if they had 100% net margins it won't be enough,because next year they will need to make 101% net margins because the stock market speculators said they need to and so on. So even if you raise prices,they will continue to push down on wages,paying taxes,etc. That is the only way to keep those fat margins increasing,right?

Private enterprise has existed for 1000s of years,but stock markets have barely existed in their modern form for a few 100 years(and even then they didn't affect all industries). Except now everything is run around short term margin gain. Countries like China,etc are more concerned about keeping their people employed and have nationalistic views about being self sufficient. Their playing of the global stock markets is for their own longterm gain.

Countries like China,etc are more concerned about keeping their people employed and have nationalistic views about being self sufficient.

That is very true but that my good friend is exactly what will get you labelled as "far right" by so called progressives.

 

[Troezar]

Well these greedy companies could always lower their record margins couldn't they? Oh wait,even if they had 100% net margins it won't be enough,because next year they will need to make 101% net margins because the stock market speculators said they need to and so on. So even if you raise prices,they will continue to push down on wages,paying taxes,etc. That is the only way to keep those fat margins increasing,right? I told people for years this was going to cause problems - only now the money tap has been turned off,and interest rates have gone up now people can't borrow as easily. Suddenly people are realising how little money we have in our pocket.

Private enterprise has existed for 1000s of years,but stock markets have barely existed in their modern form for a few 100 years(and even then they didn't affect all industries). Except now everything is run around short term margin gain. Countries like China,etc are more concerned about keeping their people employed and have nationalistic views about being self sufficient. Their playing of the global stock markets is for their own longterm gain. They are not the only country thinking like this.

Yes at some point there will be a realignment, if I knew when I'd be very rich! They've painted themselves into a corner. My advice is reduce your dent and insulate yourself from potential economic shock as much as you can. One reason I just built a second system now is I can't see prices being cheap, relatively speaking, forever.

 

[CAT-THE-FIFTH]

That is very true but that my good friend is exactly what will get you labelled as "far right" by so called progressives.

TBF,there are those on the right/conservatives who will called people socialists,etc. Then it will be the environmentalists next,etc. Basically vested interests have found a way to try and make sure by any means their cash cow is not affected. Its quite clear people across the spectrum are seeing there are problems.

 

[humbug]

Yes at some point there will be a realignment, if I knew when I'd be very rich! They've painted themselves into a corner. My advice is reduce your dent and insulate yourself from potential economic shock as much as you can. One reason I just built a second system now is I can't see prices being cheap, relatively speaking, forever.

No i can't either... i'm holding off in the idiotic hope that AMD see sense and launch something i want at a reasonable price, its not going to happen is it?

The 6700XT is currently £350, that's as good as its going to get isn't it? its all down hill from here....

 

[humbug]

TBF,there are those on the right/conservatives who will called people socialists,etc. Then it will be the environmentalists next,etc. Basically vested interests have found a way to try and make sure by any means their cash cow is not affected. Its quite clear people across the spectrum are seeing there are problems.

My political compass is slightly left of centre and a bit liberal.

I see crazy people everywhere...

 

[CAT-THE-FIFTH]

No i can't either... i'm holding off in the idiotic hope that AMD see sense and launch something i want at a reasonable price, its not going to happen is it?

The 6700XT is currently £350, that's as good as its going to get isn't it? its all down hill from here....

The PC companies have gotten so greedy,that they expect you to spend £400+ on trash like an RTX4060TI,£300+ on a new generation 8 core CPU,£100s on a new motherboard to get modern connectivity,etc to play games which still run like trash on them. Can you imagine how bad the phone market would be if Apple and Samsung had the market to themselves?

My political compass is slightly left of centre and a bit liberal.

I see crazy people everywhere...

Have people fighting amongst themselves is so much better for business.

 

[pastymuncher]

Prices are already ridiculous so any further increases are going to kill the PC gaming market and drive people to much cheaper plug and play consoles.

 

[jigger]

Free 30% bump in price for Intel and on its ancient nodes. 14nm finally comes good?

Seems Intel signed a very large deal to secure a significant chunk of TSMC 5-3nm production for its Arc GPU’s, just in time.

Still time for Pat to make CEO of the decade from producing garbage CPU’s on antique nodes and hoovering up all of TSMC’s production. What a mess the world is in.

 

[humbug]

The PC companies have gotten so greedy,that they expect you to spend £400+ on trash like an RTX4060TI,£300+ on a new generation 8 core CPU,£100s on a new motherboard to get modern connectivity,etc to play games which still run like trash on them. Can you imagine how bad the phone market would be if Apple and Samsung had the market to themselves?

Yup...

And.

Have people fighting amongst themselves is so much better for business.

Oh these narcissistic people have no idea they are just useful idiots.

 

[Cyber-Mav]

Lets say you have a 330mm^2 (6700XT) GPU die, so 12 x 28.

Out of a typical 300mm wafer that's about 170 GPU dies, lets say that wafer costs $10,000, that's $59 per die. add 30% to that and its $76.

On a $400 GPU if vendor and customer share those inflated costs that $400 GPU now costs $410.

something not right there. im expecting that $400 to be $520 which is 30% increase

 

[humbug]

something not right there. im expecting that $400 to be $520 which is 30% increase

TSMC are talking about the cost of their wafers, as is relevant to them.

Those costs to the customer, Nvidia, AMD.... is a fraction of the end cost of the product, hence the way i calculated it.

 

[jigger]

something not right there. im expecting that $400 to be $520 which is 30% increase

If the chip cost at the fab was £400 then yes, price is now £520.

Nvidia couldn’t suddenly bump prices at retail by 30% for eg, as they don’t run the fab. Intel will be the biggest winner, being both the customer and manufacturer. Plus it’s fabs are built with government subsidies currently. A double lottery win for wintel.

 

[humbug]

If the chip cost at the fab was £400 then yes, price is now £520.

Nvidia couldn’t suddenly bump prices at retail by 30% for eg, as they don’t run the fab. Intel will be the biggest winner, being both the customer and manufacturer. Plus it’s fabs are built with government subsidies currently. A double lottery win for wintel.

If the chip cost at the fab was £400 then yes, price is now £520.

lol.....

 

[jigger]

lol.....

I think he got exited about next years dividends for a second. hehe.

 

[Cyber-Mav]

Nvidia couldn’t suddenly bump prices at retail by 30%

You heard it here first folks.

 

[jigger]

You heard it here first folks.

Still holding on to that divided dream?

 

[Blackjack Davy]

Robber Barons. Mark my words, we aren't too far away from calls for the break up of a lot of these huge corporations. To much pain for voters will mean the politicians will act to save their own jobs, or someone else will offer to do it for them.

As Cat says if the prices rise, wages will have to rise to maintain the status quo. It doesn't always work like that though, and I suspect people will soon realise they are going to be worse off. Apparently in the 70's the cost of food was about 30% of income, and until recently it was only 10%, hence people feeling the rising prices.

Chip manufacture is not a significant part of the economy its not going to add to inflation in general the reason they'll be 30% more expensive is because wages etc are higher in the West in general its why we import so much crap from China and the far east in general we can't manufacture it for the same prices. Moving production to the US is a political move not an economic one Washington does not want all of the West's chip manufacture being in the hands of the CCP