NVIDIA Corporation, the world's largest developer of Artificial Intelligence (AI) chips, has signale..

NVIDIA Corporation, the world's largest developer of Artificial Intelligence (AI) chips, has signaled to customers that it will raise prices for its AI server products.

According to Bloomberg on the 22nd, large data center operators were recently informed by NVIDIA Corporation that the price of its AI chip systems would rise by more than 15%. The higher prices will be applied gradually, starting with systems shipped early next year. NVIDIA's server lineup based on its next-generation core chips, Vera Rubin and Grace Blackwell, is also included in the price increase.

The move is seen as a response to the unprecedented surge in memory chip prices, which has also raised NVIDIA's own production costs.

AI servers with higher prices are high-performance computers for data centers that are equipped with AI accelerators and high-capacity memory to train and run AI models. For top performance, they must be paired with DRAM, a type of memory semiconductor. Samsung Electronics, SK hynix, and Micron Technology supply most of the world's output, but despite capacity expansions, they have been unable to keep up with explosive demand. As a result, severe shortages and sharp price increases in memory semiconductors continue.

As memory prices have surged, companies such as Qualcomm and Apple Inc. have already raised prices for their products. Now NVIDIA Corporation, one of the world's most profitable companies, has joined the wave of price hikes.

Bloomberg said the move highlights the influence that memory chip makers hold within the AI supply chain.

The server price increase is also expected to add another cost burden to global big tech companies' plans to build large-scale AI data centers, which are already facing setbacks due to power grid shortages and delays in permitting.