Copper foil shortage could force motherboard and GPU prices higher

Shawn Knight

Posts: 13,619   +139
Staff member
Bottom line: The ongoing semiconductor shortage is quickly snowballing into an all-out component shortage, highlighting just how fragile the supply chain really is. Copper is the latest commodity to be in short supply, and it could drive the price of all sorts of electronics north.

DigiTimes (paywalled, per Tom’s Hardware) is reporting that copper foil used to make printed circuit boards continues to be in short supply, and that suppliers are encountering rising costs as a result. As such, one has to wonder how much of the cost burden will be passed along to consumers in the form of higher prices for electronics.

A quick look at the market for copper reveals a selling price of $7,845.40 per ton near the end of December 2020. Today, the commodity is going for $9,262.85 per ton, an increase of $1,417.45 per ton over the past nine months.

According to Tom’s, the price of copper foil has surged 35 percent since Q4 due to the rising cost of copper and energy production. This, in turn, is increasing the cost of PCBs. Further exacerbating the situation are other industries that are also increasingly relying on copper. The publication has a full breakdown of the current cost of copper foil rolls, how many ATX boards a single roll can produce, and so on, for those that wish to dig deeper into the economics of the situation.

While it’s possible that all sorts of electronics could see price hikes as a result, products like motherboards and graphics cards could be hit the hardest as they use large PCBs with a high layer count. In this subset, it would likely be budget hardware where the price difference would be felt the most. High-end motherboards, for example, already carry a significant premium, and manufacturers would likely be more willing to absorb a small price hike at this tier.

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Superconductor

Posts: 64   +73
So much crying about this or that shortage. Inflation was long overdue and greatly wanted... Don't 'buy-in' into the BS.
 

Stark

Posts: 183   +172
But how much is it in real terms, same tactic was used to increase price of RAM in retail for hundreds of dollars as the wholesale price increased some 400% !!
In reality, the price for wholesale contracts increased from 2USD$ to 8USD$.
Gamers Nexus did a piece on this too.
It's just more conditioning to increase retail prices, far beyond from the real increase in prices.
 

cuerdc

Posts: 246   +76
Maybe if you have a tonne of copper on your graphics card might actually justify todays prices...