Nvidia reportedly warns customers of up to 15% AI server price hikes

People cited by Bloomberg said Nvidia notified some of its largest customers about price increases of up to 15% for servers built around its AI chips. The increases apply to systems shipping early next year. The increases cover systems using Nvidia's Vera Rubin and Grace Blackwell chips. Server builders that supply data center operators passed the notice along. Nvidia accelerators require dynamic random access memory, or DRAM. Samsung, SK Hynix, and Micron produce most of the world's DRAM supply. Demand for DRAM remains ahead of output, which has pushed prices higher. Micron chief executive Sanjay Mehrotra said AI systems need more memory, higher performance memory, and lower power memory. Nvidia has a 75% gross margin. Nvidia charges tens of thousands of dollars per chip. Nvidia is scheduled to report fiscal second-quarter results on Wednesday. Nvidia shares stood at $214.7 on Friday after a six-session losing streak, the company's longest since 2022.