Wednesday, November 23rd 2022
TSMC 3 nm Wafer Pricing to Reach $20,000; Next-Gen CPUs/GPUs to be More Expensive
Semiconductor manufacturing is a significant investment that requires long lead times and constant improvement. According to the latest DigiTimes report, the pricing of a 3 nm wafer is expected to reach $20,000, which is a 25% increase in price over a 5 nm wafer. For 7 nm, TSMC managed to produce it for "just" $10,000; for 5 nm, it costs the company to make it for the $16,000 mark. And finally, the latest and greatest technology will get an even higher price point at $20,000, a new record in wafer pricing. Since TSMC has a proven track record of delivering constant innovation, clients are expected to remain on the latest tech purchasing spree.
Companies like Apple, AMD, and NVIDIA are known for securing orders for the latest semiconductor manufacturing node capacities. With a 25% increase in wafer pricing, we can expect the next-generation hardware to be even more expensive. Chip manufacturing price is a significant price-determining factor for many products, so the 3 nm edition of CPUs, GPUs, etc., will get the highest difference.
Sources:
DigiTimes, via RetiredEngineer
Companies like Apple, AMD, and NVIDIA are known for securing orders for the latest semiconductor manufacturing node capacities. With a 25% increase in wafer pricing, we can expect the next-generation hardware to be even more expensive. Chip manufacturing price is a significant price-determining factor for many products, so the 3 nm edition of CPUs, GPUs, etc., will get the highest difference.
50 Comments on TSMC 3 nm Wafer Pricing to Reach $20,000; Next-Gen CPUs/GPUs to be More Expensive
Nvidia can pound sand the others know who butters they're bread.
I understand waiting if you don’t have the budget but for anyone who has the disposable income now and need a new PC, now is the time.
Tech is meant to become cheaper as it evolves. Seems big corporations didn't get that memo.
90nm to 40nm -> 30% price increase
40nm to 28nm -> 15% price increase
28nm to 10nm -> 100% price increase
10nm to 7nm -> 66.66% price increase
To say that such a modest price increase in the cost of wafers means GPU prices will increase belies the fact that we've had far more costly wafer price increases in the past yet GPU prices either did not increase or the price increase was very modest.
Using wafer pricing to justify increasingly high GPU costs is misleading because it's only a single factor in the cost of a GPU and ignores other factors, like how costs are spread across an increasingly large customer base.
It wasn't until Turing that GPU prices exploded and that was clearly motivated by greed and not node costs given Nvidia was using a much cheaper Samsung 8nm while AMD was selling their cards for less while using the more expensive TSMC 7nm.
We've seen price hikes of GPUs for several generations in a row now, the xx80 class GPU is now more than DOUBLE what it was with the 980.
If GPU prices do increase it's due to greed, plain and simple. Nvidia and AMD have already jacked GPU prices up enough to cover the next 20 years of wafer price increases.
PCs are tools. DIY PCs are other tools, be it a NAS, a server, a rendering box, or what have you. Lawnmowers aren't really improving that much, but there are plenty of DIY lawncare people around the USA. If your "gaming box" doesn't need a $5000 GPU, then its probably a good thing to stick with $500 GPUs or cheaper.
The concept of "keeping up with the Joneses" is pretty toxic in general IMO. Its one thing if you want better raytracing performance because you wanna see what it looks like. But its another thing to be buying $1500 GPUs just because they exist.
7x7 = 49
3x3 =9
So about 5x smaller area.
so hypothetically say if a Radeon 6600 is made on 7nm wafer yields X amount of chips. And assuming 3nm node has same quality should get 4x the chips???
If the 3nm wafer cost is 4x of 7nm wafer then the cost be chip should pretty much be the same??
There are better and quite cheap options, ex. Radeon RX 6600, Radeon RX 6650 XT or Radeon RX 6700 XT. Its troubles may lead to its death. It must be careful.
The density gain from 5nm to 3nm was 60% or more, costing only 17-18% more, so this doesn't necessarily indicate more expensive GPUs and CPUs. There's a lot of room to explore in new designs, of course, you still need to put yield into the equation, that's the factor that can send prices skyrocketing.
Anyway, the cost benefit is better than the transition from 7/6nm to 5nm.
Chiplets are The way.
Also with performance where it's at the days of big expensive GPU's might be over.
Well see how the likes of Nvidia and apple with it's M3 deal with that, we know AMD and Intel have plan's.