The world is not in a good place right now. The global situation is a bit shaky at the moment. All spheres of our lives are influenced and computing is no different. If you’re into computers you probably noticed that the prices are growing. So, it’s not only about gasoline and groceries. The cost of spare parts for most devices is on the rise. If you’re building a new computer right now or are only replacing your CPU you know that the prices skyrocketed.
It’s not a great feeling knowing that something you need is now more expensive than it was before. As we said, the prices in this domain are on the rise, and no signs are showing that the situation is going to change any time soon. Various sources even claim that the situation is going to be even worse in the coming year. We’re almost halfway into 2024, so some answers are needed right now. If you’re interested in knowing what happens behind the curtains you’re in the right place. In this article, we are going to discuss the five reasons why CPUs are so expensive right now.
As you know the central processing unit is one of the most important parts of any computer. If you are into gaming the rise in the cost of this part doesn’t suit you well. No one can be satisfied with the constant increase in the price of CPUs, as it’s not something ordinary you buy every day. If this trend continues, playing games that you can find here could be harder in the future than it is today. So, even if you can’t do anything to change the trend of price increases, at least you can learn what’s going on. Keep reading and learn about the reasons behind the CPU’s price.
1. COVID-19
Yes, that’s right. The global pandemic has a say in this. While the coronavirus pandemic is almost over, or at least we hope so, its appearance left a lasting effect on this planet. The world of computers and gaming was affected too. Back in 2020, the only solution we had for the ongoing COVID-19 pandemic was the lockdown. It changed the way we behave and conduct business, and something that should have lasted for weeks lasted for months. People started working from home, the school went online, and the way we connect with each other changed. The amount of time we spent at home increased the need for technology. Many households required additional computers which increased the demand and the price of manufacturing went up due to the lack of workforce available in the factories.
2. High Demand
When we say high, we mean it. Computers were never in demand as they’re right now when we’re writing this article. As we said, the pandemic put people into their homes, and more computers were needed. The level of necessary entertainment was increased so they not only needed new machines but the old ones had to be updated. What’s a better place to start than a CPU? Most people thought the same way and the level of purchase of this particular part went berserk. After all, it is the most important part of any computer.
3. Cryptocurrencies
Even before the pandemic, the cost of a good CPU went up. One of the primary reasons for these was the cryptocurrencies. Bitcoin created a revolution in both the computing world and in the investment domain. After BTC many other digital currencies were created and the mining frenzy started. To be able to mine crypto you need powerful computers. The stronger the machine and more machines behind you the more chances you have to mine the valuable digital currency. Many people followed suit and started equipping themselves with the best computers possible. The worst part is that they only needed parts such as the motherboard, CPU, RAM, and storage. The love affair with digital currencies is still going strong and no signs are showing that it will stop any time soon, so the price of a CPU will probably go up in the coming months or even years.
4. The Shortage of Chips
Yes, as we said, the situation in this department isn’t getting any better any time soon. As we said, the world of CPUs is already very affected by the pandemic and this department is the one shaken the most. Chip shortage is a real issue and it all started with the lack of semiconductors. When COVID-19 one at its peak many factories that dealt with manufacturing semiconductors were closed. Others worked with limited staff, and the results were subpar, while the demand kept on growing. These semiconductors are vital for the CPU to work properly and these microchips are there to improve the performance of a processor and the way it communicates with other parts of a computer. The worst part is that the CPUs are not the only devices in need of microchips. So a high demand from many sectors caused the price growth.
5. Workforce Shortage
As we said, the coronavirus pandemic did a good one in the computing sector. The plague which is still present changed the world as we know it, and the situation is even graver than anyone realizes. For one, it changed the way people think. Some of the workers in tech companies that deal with computer parts didn’t even return to work. Others are now able to work in a lower capacity, while some changed their professions. The landscape is no longer the same. The prevailing thing is that many people fell in love with work at home. All of this combined caused the shortage of workforce needed to counter the high demand for CPUs. So, when there’s a high demand and shortage of supply, you know that the price is going to get higher and higher. So not only is there a shortage of raw materials needed for the manufacturing of CPUs, but there’s also a shortage of human workforce. For a while, it felt like we were living in a Matrix, but the old ones, not the ones that just bombed at the box office. Not a great place to be if you’re in need of a CPU.
