Comment by zer00eyz

> Just how sure are we the AI bubble is the entire reason for these absurd prices?

We're not, and market dictates that they don't have to talk to know to jack up the prices.

This ram price spike is leading Nvidia reporting for this quarter: gross margins were 70 percent. It's looking like their year over year increase in margins (double) is not because it came anywhere close to shipping double the number of units.

Meanwhile if you look at Micron their gross margin was 41% for fiscal year 2025, and 2024 looks to be 24%.

Micron and its peers, are competing with Nvidia for shareholder dollars (the CEO's real customer). Them jacking up prices is because there is enough of the market, dumb enough, to bear it right this second. And every CEO has to be looking at those numbers and thinking the same things: "Where is my cut of the pie, why aren't we at 60 percent".

We're now at a point where hardware costs are going to inhibit development. Everyone short of the biggest players are now locked out, and thats not sustainable. Of the AI ventures there is only one that seems to have a reasonable product, and possibly reasonable financials. Many of the other players are likely going to be able to weather the write downs.

The music will stop, the question is when.