The price crash is going to be great. Such a massive yo-yo. Most of the AI companies will just completely eat shit out of it.
Comment on The RAM shortage is coming for everything you care about
melfie@lemy.lol 3 days ago
The reason RAM prices went up 4x is that a massive amount of not-yet-manufactured memory was bought with money that doesn’t really exist to be put into GPUs that haven’t been made yet, to be installed in data centers that haven’t been built, powered by infrastructure that may never exist, to satisfy demand that isn’t actually there, in order to generate profits that are mathematically impossible.
😎
ColeSloth@discuss.tchncs.de 3 days ago
mic_check_one_two@lemmy.dbzer0.com 2 days ago
Yes and no. The hardware companies have already said that they’re not interested in expanding production. They know it’s a bubble, and don’t want expanded production now to cause a glut in the future when the inevitable pop happens. So prices may not actually drop, (even after the pop), because the companies still won’t be producing more hardware than they currently are.
ColeSloth@discuss.tchncs.de 2 days ago
All the ram being bought up is going to end up in the 2nd hand market as the hardware is all liquidated out. The prices will crash, and despite manufacturers not increasing their productions lines to build more ram, will still have to compete against themselves from the used market, meaning they won’t be able to keep trying to charge crazy high prices.
foggenbooty@lemmy.world 2 days ago
The problem is it’s manufacturing capacity that is being bought. They’re going to use that capacity to build HBM modules and data centre GPUs that cannot run outside of specialized servers. There will be a lot of high end gear gathering dust, but nothing you or I can use.
Maybe if you’re a large business/enterprise you could get some hardware on the cheap during the crash, but it’s not ot like those things are full of DDR5 DIMMs and RTX GPUs.
ThomasWilliams@lemmy.world 2 days ago
…except that PC sales will fall off a cliff, so they won’t have a market to sell to. Its not like you need a PC to access the internet anymore.
T156@lemmy.world 2 days ago
So prices may not actually drop, (even after the pop), because the companies still won’t be producing more hardware than they currently are.
There’s also the risk that they simply may not drop the price even after, because the customer base can bear that price, so it becomes the new normal.
GalacticSushi@lemmy.blahaj.zone 2 days ago
On the bright side, at least the entire global economy isn’t ridiculously overextended on this delusional bubble.
Pulsar@lemmy.world 2 days ago
Did you use ChatGPT to write this?
mitkase@lemmy.world 3 days ago
All that to create Artificial Intelligence that isn’t really intelligent.
panda_abyss@lemmy.ca 3 days ago
What do you mean?
Just walk the car wash!