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> If the demand is exceeding AMDs manufacturing capacity, then they should have priced higher or need to increase manufacturing capacity in order to actualize t
by nordsieck 7y ago
> If the demand is exceeding AMDs manufacturing capacity, then they should have priced higher or need to increase manufacturing capacity in order to actualize the potential market share to be gained.
That's the standard micro economics answer. You're not wrong.
However, I don't think you're right either. The pricing of consumer products is a black art because people don't necessarily behave like economics textbooks say they should.
Some possibilities:
1. This is a short term supply hiccup. The good will of keeping the price the same of the medium term is worth more than the money AMD would make by raising and then lowering the price of their chips.
2. They are constrained in their ability to raise their prices by Intel, which is broadly thought of as a superior product (leaving out the technical analysis of the current generation).
3. They want to create the perception of scarcity.
- navjack27 7y agoThey've been binning these chips for months maybe even a year at this point. The binned CCDs used in the 3950X are also used in Epyc. I'm sure server has a higher priority over DIY.
- paranoidrobot 7y agoFrom what I've read/heard - AMD are selling every chip they can make. So whatever the highest test the chip passes, it's sold as that. This is apparently why nobody is having much luck getting any kind of overclocking beyond the on-box specs - AMDs just very good at ensuring chips go where they're required.