Nvidia AI Servers Price Hike Hits Tech Giants Hard

Nvidia's AI servers may become more expensive for major tech companies due to rising memory chip costs, according to a report.

The prices of Nvidia's AI chips are anticipated to rise by over 15% for systems shipped early next year. This increase will vary based on the Nvidia chip generation and the amount and type of memory used in the servers.

Major technology companies such as Google, Oracle, and Microsoft may be affected by the price hike, as they rely heavily on Nvidia's AI processors for their data centres.

The sharp rise in memory costs is attributed to a shortage in supply despite increased production. Memory manufacturers such as Samsung Electronics, SK Hynix, and Micron are struggling to meet the rapidly growing demand from AI companies.