Nvidia Raises Prices Across the Board Amidst Multiple Crises
Nvidia has increased prices on almost all its products, citing tariffs, manufacturing costs, and the impact of export restrictions on its AI chips. Gaming GPUs saw a 5-10% price hike, while AI GPUs experienced a more significant 15% increase. The company's Q[number] earnings took a $5.5 billion hit due to export restrictions, including a ban on H20 chip sales to China. CEO Jensen Huang has been working to mitigate these issues, and the price increases aim to maintain profitability. Despite the price hikes, strong demand for AI chips outside of China and increased spending from cloud providers are expected to keep the company's financial report within forecasts. The move to TSMC's US plant for Blackwell chip production further exacerbated the cost increases. While a recent US-China trade deal may eventually lead to lower prices, consumers may not see immediate relief.