Reports Say Mobo Prices Going Up 10%; Gigabyte Says Nope

Unnamed industry sources said on Friday that motherboard manufacturers including Gigabyte are expected to raise their prices around 10-percent by the end of 1Q12. This increase is reportedly due to labor costs in China and an increase in the international price of copper. But Gigabyte refutes the claim, saying it has no plans to raise motherboard prices any time soon.

According to the sources, the minimum monthly wage in Beijing has increased 8.62-percent, moving up from CNY1,160 ($184 USD) to CNY1,260 on January 1, 2012. Shanghai also has pay raises in the works, adding 14.28-percent more in workers' pockets by raising their wage from CNY1,120 to CNY1,280 on April 1. Shenzhen has already raised its monthly wages 13.63-percent, increasing monthly worker income from CNY1,320 to CNY1,500 on February 1.

On the copper front, pricing has risen from less than $8,000 USD per metric ton before the 2012 Lunar New Year to $8,600 USD per metric ton. This is causing spikes in the cost of copper-clad laminates which in turn raise the production cost of motherboards.

Despite all this, Tim Handley, Gigabyte's Deputy Director of Motherboard Marketing, said that the company has no plans to raise its motherboard prices in the first half of 2012.

"We plan to go to market with future socket LGA 1155 models at the same price levels as our existing 6 series motherboards," he told Tom's Friday morning. "We are very encouraged and excited with the performance and feature enhancements that we’re seeing from next generation Intel platforms, however, our strategy is to make these available to our customers at the same price points as similar specification 6 series LGA 1155 models."

Motherboard prices reportedly saw a hike between 5- to 10-percent as of early 2011 due to increased material costs and the impact of labor shortages. Sources said prices rose again in April 2011 between 3- and 8-percent due to increased costs of many components stemming from the earthquake hitting northeastern Japan in March 2011.

  • Not a problem for me if the workers are going to get better wages. :)
  • neiroatopelcc
    My motherboard cost some 280 € in 2010 ... at that price point it really doesn't matter any more.
  • psupanova
    Who care's building your own PC is so 1990's.
  • jtennison
    Even if prices rise 10%, that won't stop me from buying a new motherboard when Ivy Bridge desktop CPUs and associated MB chips come out. :-))
  • Dyseman
    psupanovaWho care's building your own PC is so 1990's.
    Well for you Gateway and HP Lovers like yourself, their motherboards will go up too. So it hits you as well.
  • psupanova
    DysemanWell for you Gateway and HP Lovers like yourself, their motherboards will go up too. So it hits you as well.
    Gateway? HP? Buying a PC is so Noughties......
  • gsacks
    How, Chinese labor is cheap. I hope their wages do go up.
  • dark_lord69
    psupanovaWho care's building your own PC is so 1990's.Yeah, sure you can buy prebuilt computers if you don't mind a poor combination of mediocre parts.

    YAY!! Gigabyte!!
    I always like them, I think my next mobo will be Gigabyte.
    (I'm not an ASROCK fan anymore.)
  • bloodymaze
    And in other news: Foxconn reports prices increase 20%, due to mass negative media. 19% goes to apple, 1% to the workers :)
  • dauntekong
    psupanovaGateway? HP? Buying a PC is so Noughties......
    Let me guess, your not a PC... you're a Mac...