MSI Hiking Motherboard Prices From This Month

[btarunr]

With escalating raw-material and labor costs, motherboard manufacturers had decided to hike prices in Q1 2011. To its effect, leading companies ASUS and Gigabyte have already implemented price-hikes in February, which will reflect in store prices soon. MSI will be introducing price-hikes on its motherboards by 5%-10%. Motherboard sales are expected to go up shortly, as the industry is re-releasing socket LGA1155 motherboards with rectified Intel "Cougar Point" 6-series PCH chips.



View at TechPowerUp Main Site

 

[caleb]

Is this overall for motherboards ? Or just for Intel platform's?

 

[Loosenut]

With escalating raw-material and labor costs, motherboard manufacturers ~snip~

I guess it applies to all platforms, not just Intel

 

[LAN_deRf_HA]

Overall. This pending price hike was announced awhile ago. We're just now seeing the effects.

 

[btarunr]

I guess it applies to all platforms, not just Intel

I never said only Intel platforms' prices would go up.

 

[Loosenut]

I never said only Intel platforms' prices would go up.

Only answering Caleb's query

Is this overall for motherboards ? Or just for Intel platform's?

 

[TheMailMan78]

Is there any reason why they would be hiking the prices? Also why would "ALL" companies be price hiking? Sounds almost like price fixing unless there is something we do not know about?

 

[HalfAHertz]

Is there any reason why they would be hiking the prices? Also why would "ALL" companies be price hiking? Sounds almost like price fixing unless there is something we do not know about?

copper prices went up from 6500$ a ton to 8000$.

 

[caleb]

I never said only Intel platforms' prices would go up.

I asked because you didn't use "ALL motherboards" and you mention the replacement s1155 board's.
Anyways just wanted to be sure.
I find it kinda ironic that they release a "fixed" platform and they raise it's price (even if its overall raise it shouldn't touch 1155 IMHO).

So those who bought the buggy one can replace it and sell the new one for +10% price ^^
Customers might stay away from 1155 if they once heard its buggy.
I actually hoped for a price drop on these..

 

[TheMailMan78]

copper prices went up from 6500$ a ton to 8000$.

Ah ok. Whats the reason?

 

[HalfAHertz]

Ah ok. Whats the reason?

Just supply and demand
http://www.metalprices.com/FreeSite/metals/cu/cu.asp# - My bad it is almost up to 10 000$ per metric ton now.

 

[TheMailMan78]

Just supply and demand

You don't do that kinda jump unless there is a reason man. Supply and demand is a reason sure but thats a huge spike! Did WW3 start or something?

Edit: I just found this.....
http://www.reuters.com/article/2011/03/04/copper-production-idUSN0430693520110304

 

[HalfAHertz]

You don't do that kinda jump unless there is a reason man. Supply and demand is a reason sure but thats a huge spike! Did WW3 start or something?

Then maybe China is playing the market dunno. Fact is prices of copper have increased a lot in the last couple of months.

 

[TheMailMan78]

Then maybe China is playing the market dunno. Fact is prices of copper have increased a lot in the last couple of months.

Well it just said they increased production at the same time the cost of production spiked (gas). So there you go. Thank you Moammar Kadafi, you just made the motherboard I wanted more expensive.

 

[caleb]

And it's all because he doesn't know when is BF3 out ^^.

 

[TheLostSwede]

It's not just about copper prices, but a lot of the "rare earths" that are used in specific components, like tantalum is in short supply and prices are going up for that too. Add increased labour costs China, higher oil prices = more expensive to ship things and just about everything else going and things are going to get more expensive, not just motherboards.

 

[GSquadron]

This is disastrous!!!
At least they should try to make motherboards with another material which costs less and is better!
I have heard there is a better component than copper which helps the cost and performance of
electricity
Try to find a new component like copper Mobo makers!
And i see Chile is a big potential of copper

 

[TheMailMan78]

This is disastrous!!!
At least they should try to make motherboards with another material which costs less and is better!
I have heard there is a better component than copper which helps the cost and performance of
electricity
Try to find a new component like copper Mobo makers!

Rare metal conductivity does not change with the political wind. They use copper and such for a reason. 1. It works. 2. Its the cheapest alternative. Would you rather them use gold?

You sound like "Oh why are we still using gas?! We need an alternative!" crowd. Well of course but until someone invents something we are stuck with good ole' petrol. Savvy?

 

[Tannhäuser]

Errm, sorry guys. I don't believe that this is the result of the costs for materials (not that much copper on such a board). They had HUGE losses as a result of Intel's chip-failure and now they want the customers pay for it. I'm not sure if it's legal to have agreements like this (price-fixing).

Now I'm raging.

 

[TheMailMan78]

Errm, sorry guys. I don't believe that this is the result of the costs for materials (not that much copper on such a board). They had HUGE losses as a result of Intel's chip-failure and now they want the customers pay for it. I'm not sure if it's legal to have agreements like this (price-fixing).

Now I'm raging.

Dude when copper goes from 6,000 per ton to 10,000 per ton and gas goes up a minimum of 30 cents per gallon you can f#$king bet the farm its going to effect prices on electronics.

This has nothing to do with Intel or price fixing.

 

[FreedomEclipse]

so if these guys are hiking their prices up. Does that mean other board makers will follow suite? this is sounding very similar to what infinityward did prior to MW2's release - they hiked up prices and said everyone else was going to follow

 

[caleb]

I wouldn't bet just on materials. Sure they make a price but usually the materials are a small fracture of total price. Even if copper prices changed so much the board would have to use 2kg of copper to justify those 10%.

 

[TheMailMan78]

so if these guys are hiking their prices up. Does that mean other board makers will follow suite? this is sounding very similar to what infinityward did prior to MW2's release - they hiked up prices and said everyone else was going to follow

ASUS and Gigabyte have already implemented price-hikes in February

Um they already did.

I wouldn't bet just on materials. Sure they make a price but usually the materials are a small fracture of total price. Even if copper prices changed so much the board would have to use 2kg of copper to justify those 10%.

If they only made one board at a time yeah. But thats not the case.

 

[Dave65]

Errm, sorry guys. I don't believe that this is the result of the costs for materials (not that much copper on such a board). They had HUGE losses as a result of Intel's chip-failure and now they want the customers pay for it. I'm not sure if it's legal to have agreements like this (price-fixing).

Now I'm raging.

Yep there just passing the cost of there chipset failure on to us..

 

[HalfAHertz]

Yep there just passing the cost of there chipset failure on to us..

That's not true. The entire cost was taken up front by intel. They will add it as a 300mil loss for their Q1 2011

Intel will begin shipping the fixed version of the chipset in late February. The recall will reduce Intel's revenue by around $300 million and cost around $700 million to completely repair and replace affected systems.

more here

Seriously if the salaries of your workforce increase by 10% and your material costs jump by 60%(from 6k$/ton to 10k$/ton) your hands are tied and you have to increase your final product price.