Nvidia raises server prices over 15% on AI memory costs

Nvidia has informed major customers that server prices will rise over 15% due to soaring memory chip costs, affecting systems shipped early next year, including those with Vera Rubin and Grace Blackwell chips. The increases vary by chip generation and memory configuration, with contract server builders notifying data center operators like Microsoft, Google, and Oracle. Nvidia declined to comment, while memory makers Samsung, SK Hynix, and Micron gain leverage from surging AI demand. Nvidia's AI accelerators depend heavily on DRAM, whose prices have skyrocketed as supply lags demand. The company, with a 75% gross margin, faces pressure despite its dominance, potentially impacting AI infrastructure build-outs and rival competition.