The cost of video cards is increasing due to the conflict in the Middle East. And here's why

Since the beginning of the war in the Middle East, the cost of video cards in Russia has increased by 30%. And this picture only reflects the general trend in the global computer hardware market, which is simultaneously facing a RAM crisis caused by the growth of AI and the consequences of escalation in the Middle East region. How the crisis in the RAM market and the events in the Persian Gulf affected the cost of video cards is described in the Izvestia article.

Lack of RAM

● The rapidly developing artificial intelligence industry is absorbing the RAM market and displacing the hard drives familiar to users. In November 2025, the cost of RAM sets increased fourfold compared to the previous month. Tim Sweeney, head of Epic Games, suggested that the effect of the market skewing towards AI would be long-term, as manufacturers reconfigured their capacities for the AI market, where revenues are much higher than in the consumer personal computer market. Earlier, Micron, which produced low-cost hard drives for the user market, announced that it would completely refocus its business on AI needs starting in February 2026.

● A study by TechRadar showed that, following RAM, video cards that also use memory modules have become more expensive. Prices increased by an average of 15%, and the highest growth was shown by high-performance Nvidia graphics cards. The reason for the increase is the global shortage of operating memory. Since the end of 2025, the industry has been agitated by rumors that Nvidia is discontinuing production of some mid-range graphics cards and prioritizing the release of graphics processors for AI. Later, NVIDIA's partner, ASUS, issued a rebuttal, explaining the delays in the production of video cards by interruptions in the supply of components.

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● Nevertheless, according to insider reports in the foreign press, Nvidia does limit the user segment. In March, the Taiwanese computer manufacturer MSI announced a 15-30% increase in product costs in 2026 and a 10-20% reduction in the PC market instead of the previously projected 9%. The crisis in the company is due to an unprecedented shortage of components, and first of all, graphics processors, the supply of which is 20% lower than the real market demand.

● Intel, another major processor manufacturer, does not hide the fact that it has shifted production to the AI segment and is not in time to meet growing demand. Because of this, mobile processors have risen in price by more than 15% and their cost is expected to continue to rise.

Risk of helium deficiency

● The conflict in the Middle East and the subsequent closure of the Strait of Hormuz disrupted supply chains for chip manufacturing materials. Qatar is a leading supplier of helium, which is used to dissipate heat in the manufacture of semiconductors — the country ranks second in the world after the United States in terms of production of this gas. It is not possible to quickly replace the volumes of gas that were supplied from Qatar. In addition, bromine, which was also supplied from the Middle East, is used to etch microcircuits.

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● About two thirds of the global memory card manufacturing market is in South Korea. Its cards are used in the manufacture of computers, laptops, game consoles and artificial intelligence models. Against the background of the suspension of helium and bromine supplies, major manufacturer SK Hynix said that the company has enough stocks of components not to interrupt production, but other Korean companies may face shortages. At the same time, manufacturers of microchips from Taiwan assure that their accumulated reserves of helium will last for a long time.

● An additional risk is the fact that helium is sold under futures contracts that do not reflect changes in its price as a result of the conflict. According to AKAP Energy, which conducts financial analysis of the energy and helium market, the cost of gas has already increased 1.5 times. Suspending deliveries for a month may increase the cost by another 10-20%, and in the case of a three-month delay, the margin may rise to 50%.

Domino effect

● In addition to the shortage of RAM caused by the rapid development of AI models and critical disruptions in the supply of components from the Middle East region, the cost of video cards is also affected by logistical costs, especially in the context of the closure of the Strait of Hormuz, through which most shipments from the Asian region to Europe passed. Therefore, the cost of video cards includes expenses due to route changes, increased insurance and freight rates.

● The conflict in the Middle East affects GPU manufacturers directly. Nvidia and Intel, the leading companies in this field, have research centers in Israel, which is one of the active parties to the conflict and is being retaliated against by Iran. In these conditions, companies are forced to operate in emergency mode.

● The situation in the region may force technology companies to abandon plans to locate data centers in the Middle East. According to press reports, on March 3, drones damaged Amazon Web Services (AWS) cloud data centers in the UAE and Bahrain. The plans to place data centers in the UAE and Saudi Arabia were previously announced by the software manufacturer Zoho. The conflict in the Middle East will slow down the development of cloud storage, but may reduce the demand for chips in the market.

● The current price increase may reflect the expectations of market participants rather than the actual situation. But in the event of a prolonged conflict in the Middle East and a serious shortage of components, the cost of video cards and memory modules will increase even more noticeably, which may affect not only the consumer computer market, but also household appliances and the automotive industry.