Thursday, September 30th 2021
Copper Foil Shortages Could Drive Motherboard and GPU Prices Upwards
Today, we got another report about the potential problems with motherboards and graphics cards. At the moment of writing, the global supply chain of electronics is still under the shortage caused by the lack of sufficient supply of semiconductors and some other electronic components that cannot meet demand. There is a reported scarcity of copper and copper-clad laminates (CCLs), used as a base plate for manufacturing printed circuit boards (PCBs) that power every electronics product currently available. According to DigiTimes, the costs of copper foils used to make these CCLs are rising, putting significant pressure on motherboard and GPU makers to increase their price quotes.
As the materials used to create motherboards and GPUs are experiencing rising costs, that usually results in two types of actions taken by the manufacturer: a price increase or a reduced profit margin of the product. Copper pricing has risen by 35% since Q4 2020, so price growth is inevitable. With the increased MSRP representing a common trend in the computer industry for the past period, it could very easily translate into manufacturers boosting their pricing structure. That means that we, as consumers, could see higher prices of motherboards and graphics cards, especially those models with PCBs made out of high amount of copper layers.
Source:
via Tom's Hardware
As the materials used to create motherboards and GPUs are experiencing rising costs, that usually results in two types of actions taken by the manufacturer: a price increase or a reduced profit margin of the product. Copper pricing has risen by 35% since Q4 2020, so price growth is inevitable. With the increased MSRP representing a common trend in the computer industry for the past period, it could very easily translate into manufacturers boosting their pricing structure. That means that we, as consumers, could see higher prices of motherboards and graphics cards, especially those models with PCBs made out of high amount of copper layers.
56 Comments on Copper Foil Shortages Could Drive Motherboard and GPU Prices Upwards
just like they did with the aluminum
$1 at the source is at least $10 to you, depending on how many steps are involved.
Oh and the price of Lithium has tripled or quadrupled this year, depending on the specific kind.
www.digitimes.com/news/a20210930PD207.html
Copper cost did indeed went up from $3.2/lb to around $4.1/lb, which adds up to something under 5c per layer for 1oz copper clad sheet(300x300mm).
Actual price hike of the PCB due to copper prices will be insignificant : ~20-30c per ATX motherboard, or <half that for a GPU.
I'd be more inclined to believe that manufacturing/labor/logistics are becoming more expensive, but given constant excuses about less relevant stuff like passive components and materials I'd start worrying that it's yet another conspiracy to increase margins for electronics. Heck, PC sales have already dived nose down after the "lockdown" hike. We are already averaging on the level of 2016-2017(years where tech-nostradamuses were constantly reminding us that PC market is dying).
Apparently notebook makers are still optimistic and even motherboards makers are expecting demand to pick, not sure why though.
Both articles are pay walled, so no real need to click through.
www.digitimes.com/news/a20210930PD201.html
www.digitimes.com/news/a20210930PD209.html
Rubber shortageThe market is the market man... conspiracies are not that, its just the market. Free and uncontrolled, with failing regulation. The consolidation on the market is what brings us to this point. Cyberpunk is closer than you think but its not a conspiracy, its just an escalation of the systems we created. Simple cause and effect.
We either find ways to adjust globally, or we're slaves to commerce.
So, I can easily compare my receipts for, let's say, ASUS A320M-K today and 2 years ago, or just look how much does the price deviate for Z370/Z390 boards etc. Good example is my personal laptop: same model, same config now sells for $130 more than 7-8 months ago (bought it for $630, so that's a significant bump).
I have to say after all that this story is FUD, without further research and another source, I do lump Toms Hardware in with tweaktown ( @TheLostSwede :p ) as far as credibility is concerned.
Not saying that is the case here and it's worth keeping a mind that both Taiwanese and Xi-nese companies are looking to cut single cents off of their production costs, as every saving is a saving. As such, something like this is a big hit to someone's bottom line and will be taken seriously in the industry.
Also, I only worked for Cameron for less than six months and I was desperate for more work at the time...