Nvidia Launches Cheaper AI System Amid Memory Shortage Worries

Nvidia is set to launch a 64GB version of its DGX Spark desktop AI system on October 23, priced at $4,999. This marks a notable shift, as the original 128GB model debuted at $3,999, $1,000 less despite offering double the memory. The price gap widens further when considering the current cost of the 128GB model, which has surged to around $6,950, a 75% increase from its launch price. Partner versions of the system are reported to range from $5,999 to $9,000, depending on storage and configuration.

The new 64GB DGX Spark retains key components like Nvidia’s GB10 Grace Blackwell Superchip and the same AI software stack, but compromises on memory capacity. This limits its support to AI models with up to 100 billion parameters, compared to 200 billion for the 128GB system. Nvidia has attributed the rising prices to industry-wide memory supply constraints, which may persist through 2027 and 2028, according to warnings from Micron.

For investors, the challenge extends beyond the DGX Spark’s pricing. The broader concern is whether sustained memory shortages could impact Nvidia’s pricing strategy, customer budgets, or hardware configurations across its AI product line. While strong demand currently allows Nvidia to pass on higher costs to customers, prolonged memory shortages could lead to more selective AI infrastructure expansions, making supply a critical factor to monitor.