What’s happened? The budget-GPU market is facing its toughest moment in years. Multiple reports indicate that AMD and Nvidia are evaluating whether to reduce or even discontinue their low-end graphics-card lineups. The issue isn’t demand, though, but it’s the sudden spike in the cost of memory, which makes these low-margin products far less profitable. Manufacturers who rely on VRAM-heavy components are now being forced to reconsider entire product tiers.
- Industry reports (H/T Notebookcheck) suggest VRAM has become one of the most expensive parts of an entry-level card, drastically shrinking margins.
- Some vendors fear they may sell budget GPUs at a loss if memory costs continue climbing.
- As per Reuters, Samsung has increased memory-chip prices by up to 60 percent due to supply disruptions and AI-driven demand.
- The broader memory shortage is pushing OEMs, motherboard brands, and even server vendors to scale back production plans.
Just in: AMD and Nvidia are considering discontinuing mid- to low-end gaming GPUs where memory costs account for a large share of the BOM.Taiwanese PC makers such as ASUS are reviewing plans to reduce memory configurations.(The Korea Economic Daily)
— Jukan (@Jukanlosreve) November 18, 2025
Why this is important: If budget GPUs vanish, it affects more than just gamers looking for a cheap upgrade. These cards have always formed the backbone of affordable PC builds, especially in markets where price sensitivity is high. When the cost of VRAM inflates production, manufacturers naturally shift focus toward premium GPUs that offer better profit margins. That means fewer options for buyers who depend on value-centric hardware.
- Entry-level GPUs often serve students, first-time builders, and esports players who don’t need high-end power.
- Without budget cards, 1080p gaming could once again become an expensive hobby. Alternatively, AI-powered gaming running on APUs might become the new norm.
- GPU pricing trends may force buyers to move to older-gen or used hardware, creating their own risks and compromises.
Digital Trends
Why should I care? Even if someone isn’t planning to buy a GPU today, this shift reshapes the baseline of what “affordable” means. Budget GPUs disappearing means the cheapest viable gaming option gets pushed further upward, and software requirements aren’t slowing down anytime soon. For everyday players, this makes PC gaming noticeably harder to start, or continue, without stretching the wallet.
- Prices for current entry-level cards may rise simply because supply becomes limited.
- Waiting for next-gen budget options might not be a viable strategy if these tiers get cut entirely.
- Used cards could surge in demand, affecting availability and reliability.
- Builders on tight budgets may need to rethink whether integrated graphics or cloud gaming can cover certain use cases.
AMD
Okay, so what’s next? The coming months will reveal whether these cuts become official, but several outcomes seem likely. Memory suppliers expect elevated pricing well into next year, meaning manufacturers will continue prioritizing premium GPUs with healthier margins. If Nvidia and AMD proceed with lineup reductions, retailers may start phasing out low-end models, and buyers could see early stock depletion before any formal announcement. For now, shoppers seeking budget performance might want to secure existing cards while pricing is still stable, because the definition of “entry-level” may be about to change across the entire industry.
