AMD and Nvidia to Hike GPU Prices Sharply in 2026 Amid AI-Fuelled Demand Surge

AMD and Nvidia will reportedly increase consumer GPU prices “significantly” in 2026, with the Nvidia RTX 5090 possibly rising from $1,999 to $5,000, driven by soaring component costs and unprecedented AI hardware demand. The initial price hikes are expected to take effect for AMD in January and Nvidia in February, with continued increases throughout the year as supply struggles to meet demand.

According to a recent report from Newsis, cited by Eurogamer on 2 January 2026, both AMD and Nvidia are set to implement substantial price hikes for their consumer graphics cards this year. The report specifically states, “both AMD and Nvidia will raise the prices of their consumer GPUs ‘significantly’ this year,” attributing the move to escalating memory costs across the computer hardware market. These rising component prices stem largely from the massive global construction of AI data centres, which is fuelling demand for high-end GPUs and RAM beyond anything the gaming PC market has previously seen.

Industry sources quoted by Newsis indicate that the price increases will not be a one-off event. Instead, after initial hikes expected in January 2026 for AMD and February for Nvidia, both companies are likely to keep raising GPU prices gradually during the remainder of the year. The forthcoming Nvidia GeForce RTX 50 series and AMD Radeon RX 9000 series are specifically mentioned as product lines that will see higher prices, amplifying concerns among both gamers and PC builders.

Price Projections for 2026: RTX 5090 and Radeon RX 9000 Series

Newsis claims that the Nvidia RTX 5090, which launched at a retail price of $1,999 in late 2025, could see its price more than double, reaching as much as $5,000 in 2026 as supply constraints tighten and demand continues to surge. Other models in Nvidia’s RTX 50 series and AMD’s Radeon RX 9000 series are “already expensive” and will also be affected, though precise new prices have not been disclosed for each SKU.

• NVIDIA RTX 5090 launch price (2025): $1,999
• NVIDIA RTX 5090 projected price (2026): Up to $5,000
• AMD Radeon RX 9000 series: Higher price increases expected, specific SKUs not disclosed
• Initial price hike timing: AMD in January 2026, Nvidia in February 2026

The source explicitly ties these price surges to the global infrastructure buildout for artificial intelligence and machine learning. “The high cost of memory in the computer hardware market right now… has been caused by construction of widespread AI data centres, which has resulted in a huge demand for such components.” As AI companies such as OpenAI, Microsoft, and others race to build next-generation AI models, they are reportedly purchasing GPUs and RAM “with the expectation that they’ll need an absurd amount of hardware for future models.”

AI Hardware Demand Is Driving GPU Inflation

The article highlights direct statements from industry leaders on the subject. NVIDIA CEO Jensen Huang has said that next-generation AI will require “100 times more compute” than previous models. Meanwhile, Microsoft’s CEO recently remarked they “don’t have the electricity to install the GPUs sitting in their inventory.” This illustrates that the bottleneck is no longer just silicon availability, but also concerns about power and infrastructure needed to operate these AI-ready GPUs.

The report assesses that both AMD and Nvidia are capitalising on this historic demand, knowing AI companies “rely on such hardware for continued growth,” and can pay much higher prices than even the most dedicated PC gaming consumers. Eurogamer’s analysis warns, “your PC parts are going to get drastically more expensive over the coming months if this report is accurate, and they’ll likely get more expensive due to basic supply/demand problems in the hardware market.”

The impact won’t be felt solely by consumers. With the games industry shifting toward AI-driven development workflows, demand isn’t expected to abate. Square Enix, for instance, announced plans to replace 70% of its quality assurance testing with AI tools by 2027, while Ubisoft’s CEO recently stated, “AI will be as big a revolution as the shift to 3D.” These comments underscore that both the creation and consumption of computing hardware are being fundamentally reshaped by artificial intelligence advances.

Key Quotes from the Source:

• “Both AMD and Nvidia will raise the prices of their consumer GPUs ‘significantly’ this year.”
• “The Nvidia RTX 5090, which was released at a price point of $1,999, could eventually increase to $5,000 this year.”
• NVIDIA CEO Jensen Huang: “Next generation AI will need ‘100 times more compute’ than older models.”
• “The high cost of memory in the computer hardware market right now… has been caused by construction of widespread AI data centres, which has resulted in a huge demand for such components.”
• Eurogamer: “Your PC parts are going to get drastically more expensive over the coming months if this report is accurate.”

For the gaming and PC enthusiast community, these developments mark a period of historic volatility. The intersection of insatiable AI demand and a constrained supply chain is rewriting the economics of GPUs and high-end PC components. Unless AI infrastructure investments slow or supply constraints ease, consumers should brace for continued price escalation throughout 2026 and possibly beyond.