Crypto Mining Decline To Cut GPU Prices

The recent drop in cryptocurrency mining has battered the demand for graphic cards, with card suppliers read to cut down prices to clean out their inventories.

The declining market has declined the demand for ASIC mining equipment which is evident in the supply chain sources. It is expected that graphic card prices will drop by 20 percent this month according to suppliers.

Major mining companies have cut down on mining equipment orders while other small and medium-sized mining firms are dropping out of the market. The global market for graphic cards is presently worth about several million units.

The drop in demand is expected to affect sales for the Taiwan Semiconductor Manufacturing Company (TSMC) and for IC design service companies such as Global Unichip.

For the time being, Nvidia has an estimated 1 million GPUs. Next-generation GPUs from Nvidia that use TSMC’s 7nm and 12nm processes will be suspended until inventory levels increase, driving processes to the late fourth quarter.

It is hopeful that miners will sell their used graphic cards, pushing retailers to cut down on prices to stay competitive.