Motherboard Costs Skyrocket Due to Global Raw Material Shortage
A global shortage of key raw materials has driven up costs for PC motherboard manufacturers. According to a report from Board Channels, manufacturing costs for printed circuit boards (PCBs) have risen by at least 10%, with PCB material prices increasing by as much as 50%. This increase will eventually be passed on to consumers.
The shortage of copper, electronic-grade glass cloth, and resin has been exacerbated by strong demand from AI servers. These components account for a significant portion of PCB costs, with copper making up around 42% of the cost of copper-clad laminate (CCL).
Capacitor prices have also surged, with major manufacturers implementing price increases and allocation systems due to shortages. The shortage of electronic-grade glass cloth is expected to persist through 2027-2028, driven by AI server demand.
The gap between the 10% increase in manufacturing costs and the 3% average retail price adjustment in August suggests that motherboard makers will need to raise prices again soon. This could happen during Q4 price revisions at year-end, or sooner if demand trends change.