Laptop (and PC prices) set to rise up to 40%

According to TrendForce, the average price of laptops could increase by as much as 40% due to increasing RAM, SSD and CPU prices, as the market dries up with manufacturers ignoring traditional markets for consumer and business PCs and server and instead diverting nearly all of their production capacity to higher margin items, such as HBM RAM (high bandwidth), which is used by hyperscalers building out AI datacentres.

The average mainstream laptop price of $900 could raise by as much as 40% through the next couple of quarters.

I’ve seen big increases in the prices of laptops we buy at work. We have stopped the normal replacement cycle and are only replacing devices on an as-needed basis. If a laptop breaks or somebody is having real performance problems, we will replace it, but if it is running normally, if a little slow, it won’t be replaced. I have told the business, we will keep the situation under review and see if the prices are coming back down in Q3/Q4.

I looked at outfitting a new server room at one of our sites. We bought 6 servers with 1TB RAM and 2 processors last year, for the new site, the supplier wanted more for 4 servers with 0.5TB RAM and 1 processor each! It was a similar story in our US office, where we wanted a new laptop. We were paying around $1,000 for the laptop before Christmas, in Germany, the US supplier could only offer us the devices for around $1,800, then the price went up again, to over $2,000. We switched back from Dell to Lenovo, which could provide the laptop at around $1,800.

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The Register reporting that low-end educational devices like Chromebooks could be badly hit:

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It’s pretty mental. We had a server spec quoted in Dec for around $22k US, had that same quote refreshed last week and it was a little over $40k! We ended up going with refurb equipment, thankfully our workloads don’t see too much of an impact between DDR4/DDR5 spec. I’ve also got a 500T storage system on order, fingers crossed the lead time isn’t too bad.

Vendors are starting to get weird. Our Lenovo rep said they now retain the right to modify the invoice amount up to the point the equipment has been shipped. For instance, we sign a contract in March for purchase, and the equipment doesn’t get delivered until May, they may hold delivery until we agree to pay more than the contract agreement! I’d love to take that one to court..

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Dell has a quote life of between 24 hours and 7 days, HP 2 weeks, not sure about Lenovo, but Lenovo currently has lead times of around 180 days for new deliveries.

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Holy yikes! Are they refining the silicon first! :wink: