Another blow for gamers as Zotac hikes RTX 5090 prices and removes MSRP models

Another blow for gamers as Zotac hikes RTX 5090 prices and removes MSRP models

  • 25.03.2025 14:19
  • techspot.com
  • Keywords: High Prices, Price Hikes

Zotac has increased RTX 5090 prices by $500 and removed MSRP models, following other brands like Asus and MSI. The hikes are driven by tariffs, supply constraints, and high demand.

Nvidia NewsASUUYsentiment_dissatisfied

Estimated market influence

Zotac

Negativesentiment_dissatisfied
Analyst rating: N/A

Hiked prices of RTX 5090 graphics cards and removed MSRP models, leading to financial impact on consumers.

Asus

Negativesentiment_dissatisfied
Analyst rating: Buy

Reportedly hiked prices of RTX 5080 and RTX 5090 graphics cards, contributing to market instability.

MSI

Negativesentiment_dissatisfied
Analyst rating: N/A

Reportedly hiked prices of RTX 5080 and RTX 5090 graphics cards, contributing to market instability.

Context

Analysis of Zotac's Price Hike on RTX 5090 and Market Implications

Business Impact

  • Price Increase: Zotac raised prices by $500 for its RTX 5090 models, with the Solid OC now at $2,700 and the Amp Extreme Infinity at $3,000.
  • Removal of MSRP Models: Zotac no longer lists any RTX 5090 cards at Nvidia's recommended $1,999 price, indicating a shift away from competitive pricing strategies.

Competitive Dynamics

  • Industry Trend: Followed by Asus and MSI, who previously increased prices by up to $400 for their RTX 5080 and 5090 models.
  • Market Behavior: Reflects broader industry moves amid supply chain issues and higher costs, leading to similar price adjustments across competitors.

Market Trends

  • Supply Chain Challenges: Extra tariffs on Chinese goods and restricted supply contribute to rising prices.
  • Demand-Supply Imbalance: High demand for premium cards allows manufacturers to set higher prices, exacerbating market shortages.

Strategic Considerations

  • Loyalty Programs: Zotac introduced a program offering priority access through their Discord server. However, limited availability (e.g., only three RTX 5080 units sold) suggests ineffectiveness in managing scalpers and bots.
  • Consumer Backlash: The move may lead to dissatisfaction among gamers and tech enthusiasts, potentially affecting brand loyalty.

Long-Term Effects

  • Market Contraction: Persistent high prices could reduce consumer demand, impacting overall market growth.
  • Regulatory Scrutiny: Potential for increased scrutiny on pricing practices, especially if deemed anti-competitive.

Industry Context

  • Historical Comparison: Similar to the 2020-2021 chip crisis, the current situation mirrors market turmoil due to supply issues and speculative demand.

This analysis highlights the strategic shifts in the graphics card industry, driven by economic and supply chain factors, and their implications for both businesses and consumers.