Nvidia stops bundling VRAM as GDDR prices surge, squeezing AICs

Reports have surfaced that Nvidia is reworking how it supplies components for its graphics cards. Blogger @Jinhuogu Upgrade Package said that as of November 22, AIC manufacturers no longer receive video memory bundled with GPU chips. Partners now get only the GPUs and must source memory modules from third-party suppliers.

According to the blogger, Nvidia previously shipped GPUs and memory together, which allowed even smaller AIC brands to operate without direct contracts with DRAM makers. Without bundled VRAM, those companies are left exposed: many lack established supply channels and risk being unable to continue producing cards. He described the situation for part of the market as business being effectively over. The change, if accurate, shifts procurement risk downstream and could quickly squeeze the weakest players.

In the comments, users pointed out that memory quality may now vary far more between major and minor vendors—where previously the most noticeable differences were design and cooling. The blogger added that Nvidia tightly controls which memory is permitted, and using modules outside the approved vendor list (AVL) is strictly prohibited. That oversight may limit chaos, but it won’t erase the new pressure on smaller brands.

Although the source didn’t name the company outright, the combination of references to “Lao Huang” (a common nickname for Nvidia CEO Jensen Huang) and the “NV” shorthand leaves little doubt the discussion was about Nvidia.

Meanwhile, South Korea’s Hankyung reported that a sharp jump in GDDR prices has pushed the cost of graphics cards to critical levels. Because of this, AMD and Nvidia are considering scaling back—or even stopping—budget graphics lines. Industry expectations are that entry- and mid-range models could be hit first, notably the RTX 60xx and RTX 50xx series, as well as RTX 40xx and RTX 30xx. If that scenario unfolds, the lower end of the market could thin out fast.