Due to the ongoing pandemic, the global economy has taken a major hit and has distributed the global supply chain. Due to this, the supply of major companies has been taken a major hit. As Such, Nvidia has announced that its supply chain of GPU has been severely hit. As such, the prices of its cards have seen an increase in recent times. As such, the gamers are in peril to fight against both the less supply as well as inflation of prices.
Now considering the global efforts to distribute the COVID vaccine will start in 2021, it is also possible that global shipments will be disrupted even further as the vast bulk of vaccines is moved. This means that the gamers might not see prices normalize until late 2021.
NVIDIA CFO Colette Kress stated that the company is experiencing supply constraints, which make them unable to meet demand through Q4 2020. It also includes wafers and silicon along with companies’ other components. It clearly means that the gamers will not be able to buy anything at affordable rates throughout 2020 and also during the initial quarters of 2021.
“We do have supply constraints, and our supply constraints do expand past what we see in terms of wafers and silicon, but yes, some constraints are in substrates and components. We continue to work during the quarter on our supply, and we believe though that demand will probably exceed supply in Q4 for overall gaming.”
But the supply chain problem will not be solved any time soon, but the green team is still trying its level hard to start with the goal of meeting the demand. As there exists fierce competition in the market over the graphics supply dominance, Nvidia cannot slack off.
“We do expect it probably to take a couple of months for it to catch up to demand, but at this time, it is really difficult for us to quantify. So, we stay focused on trying to get our parts to the market for this very important holiday season. Each day things continue to improve. But before the end of the quarter, we will be able to provide some more information.”