Asian sources assure that Intel has informed its main clients about this future price increases which will fundamentally affect both its mainstream consumer and professional processors, as well as its chips for Wi-Fi networking solutions and other connectivity-focused products. The source is very reliable, so it has a lot of credibility.

In theory, this price increase is justified a very significant increase in production costs, which includes not only everything related to the semiconductor manufacturing process, but also the materials used. We don’t have specific details, so we don’t know exactly how much prices will increase, but according to the source, we could see anything from a minimal increase to a much larger one, around 10-20 percent.

I believe that this possible price increase it will not affect all products equallyand that it will eventually end adaptation to market reality at the specific moment in which it occurs and its development in the following months. It is important to note that this rise of Intel is something understandable given the state of the world economy Today, inflation has been skyrocketing for some time, and prices in the United States rose 9.1% in June, a number that represents an all-time record for the past 40 years.

All of these keys have created a “perfect storm” for technology appreciation in general, and when we add to this the recent parity between the dollar and the euro, it is evident that the situation we are in is not good. This information talks about a price increase by Intel, it is targeting the chip giant because that is the information they have, but I dare you to look further and I think we will eventually see price growth that will broadly affect the tech sectoralthough the semiconductor shortage is almost over.

To better understand this, just look at the steps taken by firms such as TSMC and SMIC, semiconductor manufacturers and materials suppliers Shin-Etsu Chemical, Sumco and Showa Denko. The Taiwanese giant told its clients plans to raise prices at a “single digit” rate from 2023, with SMIC also confirming at a meeting with investors that it will raise prices for compensate for increased material costsotherwise they would reduce their gross margins by 10%.

For their part, Shin-Etsu Chemical, Sumco and Showa Denko are preparing a 20% increase in the price of materialsapproximately a significant increase, which obviously needs to be assimilated in some way, either absorbed by companies to avoid price increases at the expense of lower profits, or passed on to consumers by increasing the selling price of each product.

I wanted to give context to this information because as we can see the price increases that are coming are not Intel’s whims, It is a direct result of the reality of today’s market and economy. Don’t be surprised if other big companies like AMD, NVIDIA and even Apple end up raising the introductory price of their next generation products.