The ongoing crisis with RAM pricing and the associated knock-on effect it is having on numerous consumer electronics still has its worst days to come, according to GPU manufacturer Zotac.
In a message to its Korean customers, translated by X user Harukaze5719 and reported by Tom’s Hardware, the company announced that it is suspending its 2% rewards program in the region in a bid to try to sustain GPU pricing for as long as it can, citing growing concerns with escalating prices as an existential threat to the industry as a whole. Citing the same concerns over current memory prices and the increasing costs of silicon, Zotac has warned its customers that stock for many current-generation GPUs might dry up for a long time, with no promise of it regulating in the near future.
Zotac is one of a few companies that predominantly manufactures graphics cards and hasn’t diversified in other areas of gaming hardware. This puts it at a much bigger risk than other companies, such as Asus and Gigabyte, given the margins on their only products are very quickly being squeezed. This doesn’t mean that its warning is any less concerning, especially as it comes a few weeks after Asus suggested that stock of its various 50-series Nvidia GPUs might similarly face supply constraints.
