Tuesday, August 16th 2022
AMD Ryzen 7000 Series Retailer Pricing 10% to 13% Higher Than Ryzen 5000
PC Canada has drawn first blood in registering pricing for AMD's upcoming Ryzen 7000 series, the successor to the successful 5000 series. As spotted by renowned leaker momomo_us and shared on Twitter, the specialist retailer based in Canada listed pricing for the Ryzen 7 7600X, 7700X, 7900X and 7950X CPUs. The pricing, if representative, shows an average increase that averages to 10%-12% across SKUs when compared to the previous generation Ryzen. The prices could be placeholders based on the retailers' own expectations, so this information should be taken with a grain of salt (or two).
After conversion from CAD to US dollars, pricing settles at $340 for the Ryzen 7 7600X ($299 for the 5600X at launch, for a 13% premium); $494 for the Ryzen 7 7700X (against the later-released, $299 Ryzen 7 5700X for a 65% premium); $625 for the Ryzen 9 7900X ($549 for the launch Ryzen 9 5900X, for a 13% increase) and finally, the Ryzen 9 7950X for $906 (against the Ryzen 9 5950X's $799 asking price, for another 13% premium).The Ryzen 7 5700X pricing is an outlier. As can be seen, the rest of the lineup seems to be carrying a pretty constant price hike. It's also strange that AMD would lead its launch with the Ryzen 7 7700X instead of the Ryzen 7 7800X - the company famously elected to only release the Ryzen 7 5800X at the time of the lineup's launch. If we compare the Ryzen 7 7700X's pricing against the 5800X's introduction, we end up with a price hike of around 10% instead - much more in-line with what we'd expect to materialize.
The price hikes have to be taken into the context of inflation, however; as the retailer is based in Canada, we have to look to Canada's inflation rate (8.1% as of June 2022) to see what the actual increase in pricing is. Adjusting for inflation, we're looking at a theoretical average price increase of 5% for AMD's CPUs. It could be said that that's the real increase in Average Selling Price (ASP), as the rest of it is absorbed by the higher inflation rates.
But of course, mathematics doesn't always work out that way. While AMD has the benefit of launching its new CPU family and adjust prices accounting for inflation, most consumers are unlikely to see their paychecks rise by the same amount. This will lead to scenarios where consumers are actually paying a 10-13% premium for their new hardware with the same monthly budget - while inflation pulls its weight on the price of everything else, including basic necessities.
This increased processor pricing will certainly play into the added platform costs for AMD's Zen 4 CPUs and the AM5 platform. With a new socket, support limited to the still pricier DDR5 memory, and the added cost of PCIe 5.0, platform costs as a whole for AM5 are climbing before our eyes. And we must remember that inflation is likely to hit these ancillary products as well - not just the CPUs themselves.
It seems like the best way for savvy enthusiasts and system builders is to simply invest into the heavily-discounted Ryzen 5000 parts and AM4 platform, which will still provide enough performance for at least four additional years, rather than risking a costly and so very significant system upgrade. Consumers will, as always, vote with their wallets.
Sources:
momomo_us @ Twitter, via Tom's Hardware
After conversion from CAD to US dollars, pricing settles at $340 for the Ryzen 7 7600X ($299 for the 5600X at launch, for a 13% premium); $494 for the Ryzen 7 7700X (against the later-released, $299 Ryzen 7 5700X for a 65% premium); $625 for the Ryzen 9 7900X ($549 for the launch Ryzen 9 5900X, for a 13% increase) and finally, the Ryzen 9 7950X for $906 (against the Ryzen 9 5950X's $799 asking price, for another 13% premium).The Ryzen 7 5700X pricing is an outlier. As can be seen, the rest of the lineup seems to be carrying a pretty constant price hike. It's also strange that AMD would lead its launch with the Ryzen 7 7700X instead of the Ryzen 7 7800X - the company famously elected to only release the Ryzen 7 5800X at the time of the lineup's launch. If we compare the Ryzen 7 7700X's pricing against the 5800X's introduction, we end up with a price hike of around 10% instead - much more in-line with what we'd expect to materialize.
The price hikes have to be taken into the context of inflation, however; as the retailer is based in Canada, we have to look to Canada's inflation rate (8.1% as of June 2022) to see what the actual increase in pricing is. Adjusting for inflation, we're looking at a theoretical average price increase of 5% for AMD's CPUs. It could be said that that's the real increase in Average Selling Price (ASP), as the rest of it is absorbed by the higher inflation rates.
But of course, mathematics doesn't always work out that way. While AMD has the benefit of launching its new CPU family and adjust prices accounting for inflation, most consumers are unlikely to see their paychecks rise by the same amount. This will lead to scenarios where consumers are actually paying a 10-13% premium for their new hardware with the same monthly budget - while inflation pulls its weight on the price of everything else, including basic necessities.
This increased processor pricing will certainly play into the added platform costs for AMD's Zen 4 CPUs and the AM5 platform. With a new socket, support limited to the still pricier DDR5 memory, and the added cost of PCIe 5.0, platform costs as a whole for AM5 are climbing before our eyes. And we must remember that inflation is likely to hit these ancillary products as well - not just the CPUs themselves.
It seems like the best way for savvy enthusiasts and system builders is to simply invest into the heavily-discounted Ryzen 5000 parts and AM4 platform, which will still provide enough performance for at least four additional years, rather than risking a costly and so very significant system upgrade. Consumers will, as always, vote with their wallets.
74 Comments on AMD Ryzen 7000 Series Retailer Pricing 10% to 13% Higher Than Ryzen 5000
Only people who bought the FX chips are people who didn't care about money or performance only that it has the AMD sticker. :D
Fan boy? This is one of many pictures I have on my system. Perhaps you should inquire first before you jump to making baseless accusations.
Says the guy who had the option of buying a Ryzen 1600 instead of a $4,000 Celeron because of people like me who actually comprehend what happens when monopolies win in a corrupt world. Before you go making lame attempts at putting other people down go in to your bathroom, look in the mirror and ask yourself what, if anything, you've contributed to society.
Society, you are welcome!
Joking aside AMD doing well was in everybody's best interest even if you are a die hard Intel fan.
Just look at the prices of Intel CPUs these days it's not because of the sudden goodness of the heart of Intel for sure.
With that said AMD are really really milking it here.
Let's not forget Ryzen was a crapshoot but people still buy it because was priced well and like me a lot of people wanted to see AMD do good.
But in their current trajectory next time the wheel turns people might not feel so charitable towards it. I get it I'm the same way. I don't care about who makes it and for most of the time there are no good or bad CPUs/GPUs it all depends for how much you get it.
Example Ryzen 5600x at $300 I thought was terrible choice they dropped it to $180 I think it's a pretty good CPU now.
But FX series were garbage at almost at any price let's be real here.
People saying AMD "destroying" Intel when only at times they might get a marginal win by 1% in games just look at the above charts 50% slower that's just ridiculous.
Hopefully these price increases will be just limited to any new product such as Zen4, AM5 and RDNA3 and not their existing product catalog.
You want a raise? Did you ask for a raise? Are you working someplace that gives raises or did you find a job that was easy to get that just anyone could get? When you oversimplify life you end up not only villainizing literally everyone you also end up eliminating your opportunities. The fast food places where I'm at are now offering $16+ an hour because no one wants to work at them any more. I have literally met an illegal alien who was making $100 an hour working in the oil industry. Choose: excuses or the attitude and effort to improve your income.
So let me get this right, all of a sudden the R&D which was funded at max operating margin of 6.47% (since launch of Ryzen till Q3 2019) and max net margin of 5.2% (during the same period) that created Ryzen 5xxx (Zen 3), is suddenly not enough with leverage of operating margin at 26.72% while still high net margin of 20.27% with 3 times the revenue difference between the two timelines? At this point, I don't think you know much about finance or business.
This is true in case of video cards as well. Take the 3060ti vs RX 6700XT vs RTX 3070 as an example. Nvidia prices the 3060ti higher (at least in my country) then the 6700XT despite it being on average ~8-10% slower. Even in nvidia's lineup, the 3060ti is only 10-12% slower then the 3070, but despite this the 3070 commands 35-45% higher price (2773.08 RON for the cheapest 3060 ti vs 3.763,09 RON for the cheapest 3070 in stock). Now I don't know about you guys but I'm not willing to pay 1000 lei (~200$ tax included) more for 10% more FPS....
These kinds of things influence my purchases - so as it stands, I'll be jumping a tier lower (AGAIN) when it comes to video cards. In 2014?(ish) I realized that purchasing a GTX 980 vs a 970 isn't worth it due to the same reason, so both me an my brother in law went for the 970. Then next generation for the 1070 witch wasn't that much slower then the 1080 but was noticeably cheaper. I'm not even going to mention the 1080ti or the titan. Now it looks like I'll be going down the the "06" mid range models because they make most sense from a price performance point of view.
As for AMD, I did get an AMD 5xxx series powered laptop last year and I'm very happy with - the prices seemed very fair especially considering the prices of GPUs in October 2021 when I got it. But in spring this year I wanted to build a fast mITX PC to keep under my TV, something with a decent iGPU, so I wanted to go with AMD again, specifically the 5700g - but damn were they expensive. I still got one, but got it for 2/3 the price on some online auction site / marketplace, sealed, with no warranty.
If this kind of behavior keeps up - and it will - my next CPU will be Intel. Haven't had an intel chip since my trusty old 3930k, but like I said, I'll go for best value for money. I've already given up on nvidia, and am currently considering if it's worth ordering an extremely well priced 6700xt or wait for RX 7000 series and intel's ark 770 for my desktop. Possibly a 7600 since I fully expect AMD to copy nvidia and create a large price gap between producs that have very close performance.