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Memory maker warns shortages will get worse in 2027, as CEO celebrates ‘much higher prices’
(www.videogameschronicle.com)
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this post was submitted on 02 Oct 2026
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And right now China is trying to catch up with that technology. They might be lagging today, but they are a huge market, and they will eventually catch up, maybe not completely but enough to be competitive.
Plus their LLMs need a lot less hardware resources for inferences.
Don't forget that all US frontier models are operating at a huge loss, because if they need to charge market rates their market will shrink significantly.
So this GPU crunch is forcing Chinese labs to innovate and find clever ways to achieve higher intelligence with constrained resources.
And cloud and computing cost will only go up now, due to exploding hardware prices, which will make the whole business model of the US frontier models even more unprofitable.