AMD vs Nvidia: GPU Prices To Plummet?

As GPU prices continue to fall, there's more good news for PC gamers -- AMD graphics cards are falling faster than Nvidia Gpus.

A few days ago, we reported on how AMD cards are being sold near the MSRP (manufacturer's suggested retail price) at certain retailers, and now the HardwareUnboxed YouTube channel has published a report on the price cuts we're seeing at Newegg, one of the largest by a computing component retailer in the US.

According to HardwareUnboxed (we also checked prices), recent AMD graphics cards are now averaging just 5% above the MSRP. That wouldn't normally be something to celebrate, but after years of GPU prices rising due to a global chip shortage and cryptocurrency boom, it's definitely good news.

Some AMD Gpus saw significant price drops between April and May, with AMD Radeon RX 6600 XT down 15% and AMD Radeon RX 6700 XT down 14%, AMD Radeon RX 6800 XT down 13%.

AMD vs Nvidia: GPU Prices To Plummet?

On average, PRICES of AMD Gpus on NewEgg fell 8% between April and May. Perhaps most encouraging of all, the new high-end AMD Radeon RX 6950 XT was launched in May with a suggested retail price of $1,100 (£900 / A $1,600), which is what NewEgg will cost. The new budget AMD Radeon RX 6650 XT is also available at a suggested retail price of $400 (around £320 / A $570).

With the price of existing Gpus falling, this suggests that the era of paying above the suggested retail price for gpus may finally be over. At least when it comes to AMD graphics cards.

What about Nvidia?

If you prefer Nvidia gpus, there's good news as team Green graphics cards are also coming down in price. However, as HardwareUnboxed reports, the decline in Nvidia graphics cards, while less dramatic, also averaged 6% from April to May.

Nvidia GeForce RTX 3080 10GB (-15%), Nvidia GeForce RTX 3080 12GB (-12%), Nvidia GeForce RTX 3060 (-12%) And Nvidia GeForce RTX 3070 (-10%).

While this is an encouraging trend, the average selling price of Nvidia Gpus is still 24% above the MSRP, making its graphics card value proposition much worse than AMD's.

AMD vs Nvidia: GPU Prices To Plummet?

Analysis: What does this mean for PC gamers?

This is all encouraging news for PC gamers who have had to endure a real GPU nightmare over the past few years. What little inventory was available was sold at such a high price that many people simply couldn't upgrade their gaming PCS or buy or build new ones.

So these price falls are a sign that things are finally stabilizing. Chip production is increasing again and cryptocurrencies are collapsing. While bad news for cryptocurrency miners and investors, it means GPU shares are at least not being bought by miners.

We may even start to see price wars again as AMD and Nvidia compete for customers. AMD is sure to win this for now, with many Nvidia cards still well above the MSRP.

Most encouragingly, new Gpus like AMD Radeon RX 6950 XT and Nvidia GeForce RTX 3090 Ti are available at vendor MSRP, which bodes well for the future, In particular, both Nvidia and AMD are expected to launch a new generation of Gpus later this year.

Interestingly, however, prices of two Gpus actually rose between April and May, according to the report: AMD Radeon RX 6600 and Nvidia GeForce RTX 3050. Both are mid-range gpus with cheaper prices, indicating strong demand for affordable Gpus, which is where we may see the next GPU price war take place.

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