GPU prices are at their lowest in 15 months, could fall to ‘attractive’ level already in May

I don't understand the logic of a high price after a new gen launch. We can still find old gen GPU's, phones, almost everything selling for a high price. Why is it so? Don't these sellers want to clear the old inventory? I never saw the price of old gen dropping by a huge margin in India even in the smartphone market.
 
powervgx said:
I don't understand the logic of a high price after a new gen launch. We can still find old gen GPU's, phones, almost everything selling for a high price. Why is it so? Don't these sellers want to clear the old inventory? I never saw the price of old gen dropping by a huge margin in India even in the smartphone market.
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Demand supply gap, increased cost of semiconductors, inflation, greed.
 
powervgx said:
I don't understand the logic of a high price after a new gen launch. We can still find old gen GPU's, phones, almost everything selling for a high price. Why is it so? Don't these sellers want to clear the old inventory? I never saw the price of old gen dropping by a huge margin in India even in the smartphone market.
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Two reasons:


1. If there's not much difference between old and new stuff's pricing, people just pay slightly more and buy new stuff. This is often the primary reason. Even Activision does it, check prices of old CoD games on Steam.

2. As new stuff is released, old stuff is not manufactured anymore. So if you're specifically looking for something old, shops realize you might be desperate for that and make you pay for it. Happens all the time with old motherboards or RAMs. After DDR3 RAM were released, at one point, they were actually cheaper than old DDR2 RAM sticks.
 
Mr.J said:
Two reasons:


1. If there's not much difference between old and new stuff's pricing, people just pay slightly more and buy new stuff. This is often the primary reason. Even Activision does it, check prices of old CoD games on Steam.

2. As new stuff is released, old stuff is not manufactured anymore. So if you're specifically looking for something old, shops realize you might be desperate for that and make you pay for it. Happens all the time with old motherboards or RAMs. After DDR3 RAM were released, at one point, they were actually cheaper than old DDR2 RAM sticks.
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Reason 1-
The price of all old stuff drops in other countries even for Apple products but not that much in India. In other countries, people can pay slightly higher price and buy new stuff or slightly lower price and buy old stuff but here in India, we can buy the lastest at a higher price or old again at a higher price. I can play both old and new games but there is no point in buying an outdated hardware at a higher price.

Reason 2-
Motherboard and RAM are very specific examples and the higher price is just supply and demand. I am talking about old GPU, phones like s6, s8 which no one wants. There is simply no demand but these are still available at a higher price.
 
powervgx said:
Reason 1-
The price of all old stuff drops in other countries even for Apple products but not that much in India. In other countries, people can pay slightly higher price and buy new stuff or slightly lower price and buy old stuff but here in India, we can buy the lastest at a higher price or old again at a higher price. I can play both old and new games but there is no point in buying an outdated hardware at a higher price.

Reason 2-
Motherboard and RAM are very specific examples and the higher price is just supply and demand. I am talking about old GPU, phones like s6, s8 which no one wants. There is simply no demand but these are still available at a higher price.
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1. High and low are relative terms. Year old phones for 20k/40k/60k and newly launched phone for 25k/45k/70k means people are okay with paying slightly more for new stuff. Things aren't going be 50k on launch to 20k after a year. It will go down to 30k at most. Plus, you need to take purchasing power in account. What you think is high price for old stuff is just normal price in first world countries. That's how it is in India.

2. If no one wants those things but you then you must be desperate for that thing. You're the one with demand. Means its time to rip-offf the customer.
 
Mr.J said:
1. High and low are relative terms. Year old phones for 20k/40k/60k and newly launched phone for 25k/45k/70k means people are okay with paying slightly more for new stuff. Things aren't going be 50k on launch to 20k after a year. It will go down to 30k at most. Plus, you need to take purchasing power in account. What you think is high price for old stuff is just normal price in first world countries. That's how it is in India.

2. If no one wants those things but you then you must be desperate for that thing. You're the one with demand. Means its time to rip-offf the customer.
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1
When did I expect a 50k item to be 20k after one year ? From where this example popped up ? :D I have no idea why you mentioned purchasing power because even though US guys have a higher purchasing power they are not okay with overpriced stuff like we Indians do. One look at any Apple forum is enough to tell us that a person earning 10 times more is still paying a lot less than us. My query was not about US purchasing power so let me rephrase what I said.
Old stuff simply vanishes from the market or keep selling at the same (higher since it is outdated) price in India along with the new stuff.
Old stuff keep selling at a lower price in USA along with the new stuff.
2
??? Who wants an old GPU or a phone when new ones are available? Repeating again that the mobo and RAM are very different from a GPU/ phone. We have seen from the times of 8800 GT that the prices of a lot of old GPU almost never drops in India which doesn't make any sense.
 
I only mentioned 50k item to 20k as an example of price falling by 60% after a year. Old stuff keep selling at the same price in India along with the new stuff because profit margins are thinner here.

Also, old but good stuff can still be sold to people.

If someone's looking to buy newly launched GPU for 25k then shops can still talk them into spending 5k more for a more powerful GPU that was launched last year.


There are lot of reasons why things work differently here but most important reason is because ours is a poor country located halfway around the world. There's no way demand and supply curve will be in our favour in near future.
 
Mr.J said:
I only mentioned 50k item to 20k as an example of price falling by 60% after a year. Old stuff keep selling at the same price in India along with the new stuff because profit margins are thinner here.

Also, old but good stuff can still be sold to people.

If someone's looking to buy newly launched GPU for 25k then shops can still talk them into spending 5k more for a more powerful GPU that was launched last year.


There are lot of reasons why things work differently here but most important reason is because ours is a poor country located halfway around the world. There's no way demand and supply curve will be in our favour in near future.
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+ sweet taxes on electronics
 
powervgx said:
I don't understand the logic of a high price after a new gen launch. We can still find old gen GPU's, phones, almost everything selling for a high price. Why is it so? Don't these sellers want to clear the old inventory? I never saw the price of old gen dropping by a huge margin in India even in the smartphone market.
Click to expand...
This part I've never understood even as a business owner myself. I mean although we deal in pipeline manufacturing which is completely different from tech business, but the aspect of clearing old inventory is pretty much the same across all business! Should remain unsold, these inventories are cleared off at dirt cheap offerings. And for our type of business the old products will never fully depreciate their value, but for tech products it's even worse. Who is going to consider purchasing a 5 year only device now?

So what do they do with these products I wonder. When old inventories stack up the usual approach is make whatever you can while you still can.

Lack of business ethics is the primary reason behind this, that much I've understood long ago. But what I can't process is the factor of loss. By not clearing off old stuffs they are practically welcoming loss! So that probably is the secondary reason, our extreme intellect. Lmfao in any case.
 
sauravghosh said:
This part I've never understood even as a business owner myself. I mean although we deal in pipeline manufacturing which is completely different from tech business, but the aspect of clearing old inventory is pretty much the same across all business! Should remain unsold, these inventories are cleared off at dirt cheap offerings. And for our type of business the old products will never fully depreciate their value, but for tech products it's even worse. Who is going to consider purchasing a 5 year only device now?

So what do they do with these products I wonder. When old inventories stack up the usual approach is make whatever you can while you still can.

Lack of business ethics is the primary reason behind this, that much I've understood long ago. But what I can't process is the factor of loss. By not clearing off old stuffs they are practically welcoming loss! So that probably is the secondary reason, our extreme intellect. Lmfao in any case.
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They want Everything or Nothing.
 
www.vedantcomputers.com

www.vedantcomputers.com

Online store in India for graphics card, motherboard, processor, solid state drive, gaming cabinet, keyboard, mouse, power supply, gaming accessories etc. at best price.
www.vedantcomputers.com www.vedantcomputers.com

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These were all in stock while I was posting this. Also got an invite for a 3080Ti but I think I will pass now.
 
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