• Competitor rules

    Please remember that any mention of competitors, hinting at competitors or offering to provide details of competitors will result in an account suspension. The full rules can be found under the 'Terms and Rules' link in the bottom right corner of your screen. Just don't mention competitors in any way, shape or form and you'll be OK.

Why GPU prices are NOT likely to drop significantly EVER!

Status
Not open for further replies.
Associate
Joined
24 Jun 2021
Posts
216
Location
U.K.
Hi everybody,
I thought I would put in a post of why inflation is going to keep up and create a new normal in the world.
I know lots of you are sitting on the side lines waiting for a big drop in GPU prices before buying but the days of getting a decent GPU for £500 or £700 are well gone, expect to pay £1k+ for decent and £2k+ for top end.

1. inflation isn't something that just goes up a few points per year when it really appears there is a huge
surge which goes on and on

2. the commodities upcycle is only getting started=inflation

3. the US has trillions in debt, they don't have the money to pay bond holders so the fed and treasury will keep interest rates down and inflate their dollar to try and inflate away the debt=inflation.
Once inflation appears and surges like you seeing now they are *NOT* going to raise interest rates to combat it but keep inflation running high which is in their interests! (and what do you think BOE will do here in the UK!) what you'll get in a short space of time is a currency devaluation not just US/UK but globally.

4. You may know I'm predicting all 3 major US stock markets to go over finally during the last few months of this year. Now this will be the first of the major bubbles to pop followed by the housing bubble a bit later. As the huge bubbles pop you're going to get more currency devaluation=inflation!

5. GPU shortages/prices are just the tip of the iceberg, once you see the surge of inflation go into food and everyday items then its time to be worried.

See what happens in a few months and Prepare for the biggest financial event of your lifetimes!

Regards, Harold
 
Soldato
Joined
18 Feb 2015
Posts
6,484
Pretty much, and if all that wasn't enough then these past few years have amply demonstrated how willing people are to pay more for GPUs. Plus everything exciting that's on the horizon in terms of new tech looks to be ever more expensive (MCM, faster memory/wider configs, >400w targets => req. better components etc.), heck even with Ampere/RDNA 2 looking so good on paper it's really only the higher end cards that looked that way, but the highest end got more expensive (3090 et al) and the middle end has stagnated too (3060 & lower), while low-end has been almost unchanged for 5 years now (RX 480/GTX 1060 tier). Then there's a bunch of other factors as well that will also add on top to it (component shortage medium-term etc), so overall the situation isn't going to change for the better any time soon. High prices are the new normal for most of the '20s.
 
Soldato
Joined
6 Feb 2019
Posts
17,596
Hi everybody,
I thought I would put in a post of why inflation is going to keep up and create a new normal in the world.
I know lots of you are sitting on the side lines waiting for a big drop in GPU prices before buying but the days of getting a decent GPU for £500 or £700 are well gone, expect to pay £1k+ for decent and £2k+ for top end.

1. inflation isn't something that just goes up a few points per year when it really appears there is a huge
surge which goes on and on

2. the commodities upcycle is only getting started=inflation

3. the US has trillions in debt, they don't have the money to pay bond holders so the fed and treasury will keep interest rates down and inflate their dollar to try and inflate away the debt=inflation.
Once inflation appears and surges like you seeing now they are *NOT* going to raise interest rates to combat it but keep inflation running high which is in their interests! (and what do you think BOE will do here in the UK!) what you'll get in a short space of time is a currency devaluation not just US/UK but globally.

4. You may know I'm predicting all 3 major US stock markets to go over finally during the last few months of this year. Now this will be the first of the major bubbles to pop followed by the housing bubble a bit later. As the huge bubbles pop you're going to get more currency devaluation=inflation!

5. GPU shortages/prices are just the tip of the iceberg, once you see the surge of inflation go into food and everyday items then its time to be worried.

See what happens in a few months and Prepare for the biggest financial event of your lifetimes!

Regards, Harold


Mate if the global stock market amd housing bubbles pop like you are predicting the price of graphics cards will be the least of problems for people
 
Associate
Joined
3 May 2021
Posts
134
There is a large inflation risk in our Western economies due to money printing and the run up in debt due to Covid support mechanisms. The hope is that the economy rebounds sufficiently to capture some growth, but not too much to push inflation. The central banks do not want short term high inflation. They will want to deflate debt eventually, but the target would be to allow the power of compounding to work to slowly erode the debt. However, we are just one shock away from a big financial market hit

What I have learned from my many years on this planet (with a Masters in Economics and Economic History) is that guessing the timing is a mugs game. I was convinced the dot com bubble was a bubble and would crash horrifically. I was right, but I was also out by 3 years! 3 years! That was 3 lost years of investment.
 
Permabanned
Joined
31 Aug 2013
Posts
3,364
Location
Scotland
Pricing was where it was due to a balance between cost to produce and what the consumer can afford. What the consumer can afford hasn't changed. Cost to produce will return to where it was due to competition.
 
Permabanned
Joined
12 Sep 2013
Posts
9,221
Location
Knowhere
I think it's kinda what we've been expecting, Turing saw card prices go sky high or price performance stay the same when moving to a new range, Ampere pushed it in the same direction to a lesser degree & than mining broke everything. I was lucky this time around, I sold my 5700XT to fund a 6800/XT but I never managed to get one on release so rather than wait I went back to the MM and bought another 5700XT just as Mining blew its top, Close shave as I would've been stuck on a pair of 480's (when cross-fire even worked) for what would have felt like forever. :rolleyes:
 
Associate
Joined
2 Jul 2019
Posts
2,427
Mate if the global stock market amd housing bubbles pop like you are predicting the price of graphics cards will be the least of problems for people

Yeah, agreed.

£700 budget cards aren't sustainable. OP post has no backing/support so i'll just leave my opinion/prediction too. Prices will drop significantly, be it today or tomorrow.
 
Associate
Joined
23 Oct 2019
Posts
484
I am not knowledgeable enough economy etc but if it's GPUs we are talking about shouldn't there be a big wave of incoming 2nd had GPUsthe moment this "mining boom" explodes? And wouldn't those 2nd hand GPUs "eat" some of the next gen graphic cards Nvidia and AMD market? Nvidia 2XXX cards sold less than usual due to the market flooded with "cheap" 1xxx cards if I am not mistaken.
 
Associate
Joined
23 Oct 2019
Posts
484
What I'm seeing a lot of is bundle offers with motherboard and so on that's just madness.

Would guess it's just the stores trying to make the best out of the situation and getting rid of "unwanted" stock, GPU stock is definitely getting more abundant.
 
Soldato
Joined
15 Oct 2019
Posts
11,698
Location
Uk
Plenty of Gpus in stock and prices have already dropped 30% in the last month alone, with mining profits falling miners don't want to pay over the odds now there is only so many gamers willing to pay over the odds and most of those will have cards by now.

As more and more GPUs sit on shelves gathering dust expect prices to fall further.
 
Status
Not open for further replies.
Back
Top Bottom