The average selling price of a graphics card has more
Hardware

The average selling price of a graphics card has more than doubled in 5 years – blame miners and resellers

Graphics cards have become significantly more expensive in recent years. Noted analyst Jon Peddie has collected data on how the average retail price of graphics cards has changed over the years since 2008. His research was published by Graphic Speak. The article also looks at the currently inflated prices of AMD and NVIDIA graphics cards and predicts how they will change in the future.

As you can see in the chart below, the most stable period was from 2011 to 2014, when the average price of a graphics card was around $250. It is also interesting that average prices fell in 2009, 2010 and 2016. The rise began in 2017 with the growing popularity of Ethereum. Then prices froze, but not for long.

The largest increase in the average price of graphics cards occurred between 2019 and 2020. So if the average price of a graphics card was just over $400 in 2019, it was already approaching $700 in 2020 — an increase of about 75% in just one year. In 2021, prices continued to rise, but not as much.

Such a sharp increase is mainly due to the sharp rise in popularity of cryptocurrencies mined with graphics cards. The corona pandemic also played a role. All together led to a shortage of graphics cards. Then speculators became active, buying up commercially available graphics cards and reselling them at exorbitant prices. And this is not even a figure of speech – in some periods the prices of video cards were really almost three times higher than the recommended ones.

The analyst attributes the increase in graphics card prices precisely to miners and resellers, and in no way to graphics card manufacturers. The expert emphasizes that the graphics card manufacturers themselves did not benefit from the shortage and subsequent price increases. The cream was removed by both distributors and the retailers themselves.

At the moment graphics cards are still being sold at very inflated prices. In addition, NVIDIA solutions tend to be overrated. For example, the GeForce RTX 3090 Ti and GeForce RTX 3080 are selling for 91% and 75% above the recommended price, respectively. Mass GeForce RTX 3050 is offered at 40% more than the recommended price. AMD graphics cards, in turn, have a maximum markup of 30% – the flagship Radeon RX 6900 XT. And the massive Radeon RX 6600 is now offered at a price premium of just 15%.

In general, graphics card prices continue to fall. Peddy believes prices will fall sharply as retailers and speculators have excess inventory they can’t sell. But when this will happen is not yet clear.

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About the author

Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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