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Nvidia Corp. is preparing to increase prices for AI servers by more than 15 percent as memory costs rise.

Nvidia Corp. is preparing to increase prices for many AI servers containing its chips by more than 15 percent. The price hike, scheduled for systems shipping in early 2027, is driven by soaring memory costs and relentless demand from data centers. Dan Ives, a partner and senior managing director at Yorkville Ives & Co., noted that the increase reflects a memory supercycle where demand for advanced chips may be running at up to 15 times the supply. Ives stated that Nvidia Corp. has little choice but to pass these extra costs through to customers, who remain willing to pay for scarce computing capacity. The move highlights the pricing power of Nvidia Corp. and its suppliers, particularly Micron Technology Inc., which is seeing significant revenue growth from its memory products. While hyperscalers like Microsoft and Oracle are developing proprietary accelerators, the price increase serves as a test of Nvidia Corp.'s ability to maintain industry-leading margins while passing costs downstream.

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