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When will the graphics cards market recover from scarcity?

The popularity of gaming has significantly increased over the years, with the age group now ranging from primary school-aged kids to teens to adults. And with the onset of new technologies and gaming consoles, this is a market that’s set to soar.

Demand v/s supply

However, there is one problem that avid gamers are now facing: graphics cards (which are the heart and soul of PC games) are now getting hard to get hold of. There is far too much demand and not enough supply.

An ordinary home or office PC might work fine with built-in graphics power, but if you are a serious gamer or it is part of your job, then you would need a dedicated graphics card (GPU).

Why is there a shortage?

  • One reason for the sudden increase in demand for GPUs is that the newer cards are of a much superior quality and performance level, as compared to the ones previously available in the market.

  • The global lockdown increased the popularity of gaming, with everyone being at home. Yet, on the other hand, Chinese manufacturing was temporarily closed followed by shipping delays resulting in a slow production and supply.

When will the scarcity end?

It doesn’t look likely that there will be an immediate increase in supply in the near future. Business and international trade is still not back to normal, and will take a couple more months to bounce back.

Another problem is that of automated bots that buy cards for re-sellers before real consumers have a chance, leading to lower supply and inflated prices.

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