Hardware shortages are likely to last for the rest of this year

By FileTrekker 2 years ago, last updated 2 years ago

If you were hoping for the shortage of gaming hardware to ease up soon, then we may have some bad news for you. According to Nvidia, during a recent shareholder event, the company is under the impression that the current shortages are going to remain for the rest of 2021, and potentially beyond.

According to Colette Kress, CFO of Nvidia, "overall demand remains very strong and continues to exceed supply while our channel inventories remain quite lean. We expect demand to continue to exceed supply for much of this year. We believe we will have sufficient supply to support sequential growth beyond Q1." This seems to suggest that the shortages won't be easing up any time soon, with many retailers still refusing to take further orders of 30-series GPUs.

AMD's Ryzen 5000 CPUs, Intel's latest CPUs, and even broadband routers are starting to feel similar effects. The situation is, in some ways, turning into a crisis. 

Despite the fact nobody is able to buy a 30-series GPU, Nvidia still considers it a very successful launch, with more than double the numbers Turing saw during its first six months. Nvidia is selling every card as soon as it rolls out of the factory, which is a good position for them to be in right now. The issue is that Nvidia didn't foresee the demand it ultimately faced - so is the situation optimal? Perhaps not, but by no means are Nvidia losing out in this situation.

It's the same story for AMD across both CPUs and GPUs, although word on when those products may normalize seems unclear right now. But the short story is, unless demand dies down (which we can't see happening), there's going to be a huge shortage in gaming hardware - and it shows no sign of ending any time soon.


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