Chinese AI chip makers raise prices amid HBM shortage

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A sharp rise in prices for Chinese AI chips has been reported amid a shortage of high-bandwidth memory (HBM). Huawei increased the recommended price of its Ascend 950DT accelerator card to over 250,000 RMB, while Cambricon raised the price of its 690 chip by 20% to 30%. Muxi and Tianzhu Smartchip also implemented price increases. Older Huawei models, such as the 950PR and 910C, saw price hikes of up to 30%. The supply shortage is linked to U.S. export controls and rising gray market costs. This price surge could impact altcoins that rely on AI infrastructure, and the fear and greed index among crypto traders may reflect this shift.

ChainCatcher report: According to a Reuters exclusive on September 10, Chinese AI chip manufacturers have significantly raised prices due to shortages of high-bandwidth memory. Huawei has increased the indicative price of its Ascend 950DT accelerator card to over RMB 250,000, a 20% to 50% rise compared to quotes two months ago. Cambricon has raised the indicative price of its planned 690 chip by 20% to 30%, while Moxi and TianShu Intelligence have also implemented similar price increases. The report cites U.S. export controls and elevated costs from the gray market for high-bandwidth memory as key reasons. Prices for Huawei’s earlier-generation products, such as the Ascend 950PR and 910C, have also risen by approximately 30%. These price hikes have increased the cost of building AI computing infrastructure in China. Huawei, Cambricon, and other companies have not commented on the reports.

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