I've got some news that might sting a bit for those of you planning a PC upgrade. Word on the street is that both AMD and Nvidia are planning "significant" price hikes on their GPUs, and it could all be happening pretty soon. We're talking next month soon!

Apparently, this isn't just your run-of-the-mill price adjustment. The main culprit? The insane demand for memory in the hardware world, fueled by the massive construction of AI data centers. These AI powerhouses need a ton of processing power, and that's driving up the cost of everything.

And if that's not disheartening enough, sources are saying that these price increases won't be a one-time thing. We can expect a gradual climb throughout the year. Think about those high-end cards, like Nvidia's GeForce RTX 50 series and AMD's Radeon RX 9000 series that were already stretching our wallets. If this is accurate, the RTX 5090, which supposedly launched at $1,999, could potentially reach $5,000. Ouch!

It's easy to see why this is happening. Creating these powerful GPUs is becoming increasingly expensive, but also, companies like OpenAI, are consuming vast amounts of hardware. Nvidia's CEO himself mentioned that next-gen AI will need "100 times more compute" than current models. It's mind-blowing, right? One source even heard that Microsoft's CEO doesn't have the power capacity to install the GPUs sitting in their inventory.

Whether you believe the AI hype or not, the reality is that these companies are buying up GPUs and RAM like there's no tomorrow. They're anticipating a future where their models require an unbelievable amount of hardware. Nvidia and AMD know they can charge a premium because these AI firms depend on this hardware for growth.

So, what does this all mean for us gamers? Well, if this report is accurate, building or upgrading your gaming PC is about to get a lot more expensive. We're not just talking about the increased cost of components; it's also a basic supply and demand issue. Prepare yourself to empty your pockets if you want the latest and greatest.

Interestingly, while we're facing these potential price hikes, many video game companies are planning to embrace AI in their development processes. Imagine Square Enix planning to replace 70% of its QA with AI by 2027. It seems like AI might change everything as Ubisoft's CEO believes, just like the shift to 3D once did.