NVIDIA to cut GPU production by up to 40% in 2026 as AI claims another victim
First it was GPUs, then memory and now it’s GPUs again as the AI bubble continues to wreak havoc on the consumer electronics industry. With memory prices continuing to skyrocket, it seems that it’s now beginning to affect NVIDIA’s plans for next year, as reports hint at the giant slowing down GPU production next year.
Sources claim that NVIDIA is set to adjust its GPU production numbers of the GeForce RTX 50 series graphics cards next year due to the ongoing memory crisis. In comparison to the first half of this year, NVIDIA is allegedly reducing supply by 30% to 40%. This could be due to NVIDIA struggling to get enough GDDR7 memory from suppliers, or alternatively because they expect reduced GPU sales next year in general; most enthusiasts are struggling to build new PCs anyway due to rising RAM costs.
The first GPUs to get hit will likely be the GeForce RTX 5070 Ti and the GeForce RTX 5060 Ti 16GB model. That would make sense, as the RTX 5060 Ti 16GB has the same amount of VRAM as the much more high end RTX 5080, which also makes a lot more on margin for NVIDIA. This would likely mean gamers looking to build or buy a new gaming PC next year would have to get GPUs with 8GB of VRAM unless they shell out for top of the line hardware.
Incidentally, there was no mention of NVIDIA cutting supply of GPUs in the RTX PRO line. The RTX PRO line is almost certainly more profitable though, making consumer RTX graphics cards the more obvious candidate for NVIDIA to cull from a business perspective.
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