Home Business
Category:

Business

New Delhi | European Council President António Costa on Tuesday recalled his deep personal connection with India, saying the landmark India-European Union Free Trade Agreement (FTA) holds “special meaning” for him due to his Indian roots.

Speaking at a joint press conference with Prime Minister Narendra Modi and European Commission President Ursula von der Leyen, Costa revealed that he is an Overseas Citizen of India (OCI) and proudly traces his family origins to Goa.

“I am the President of the European Council but I am also an overseas Indian citizen. For me, it has a special meaning. I am very proud of my roots in Goa, where my father’s family came from. The connection between Europe and India is something personal to me,” Costa said, while displaying his OCI card.

Calling the moment historic, he said the agreement marks a new chapter in India-EU relations across trade, security, and people-to-people ties. Costa also recalled that the trade negotiations were relaunched during the India-EU Leaders’ Meeting in May 2021, which he hosted in his previous role.

Costa has earlier spoken publicly about his Indian heritage. Addressing a Pravasi Bharatiya Divas event in 2017, he said his family hailed from Madgaon in Goa and that he still has relatives there.

Earlier in the day, India and the European Union formally sealed the long-awaited FTA, described as the “mother of all deals,” alongside two major agreements on security and defence cooperation and the mobility of Indian professionals to Europe.

The two sides also adopted a joint strategy document titled ‘Towards 2030 – A Joint India-European Union Comprehensive Strategic Agenda,’ aimed at deepening bilateral cooperation over the next decade.

Short Summary

European Council President António Costa recalled his Goan roots and OCI status as India and the EU sealed a historic free trade agreement in New Delhi.

0 comment
0 FacebookTwitterPinterestEmail

The United States has signalled a possible diplomatic pathway to remove the additional 25% tariffs imposed on India, following a sharp decline in Indian refinery purchases of Russian oil. The indication came from U.S. Treasury Secretary Scott Bessent during the World Economic Forum in Davos.

Speaking to Politico, Bessent said India’s imports of Russian crude by its refineries have “collapsed” after Washington imposed the tariff, calling the outcome a “huge success” for U.S. policy. While the tariffs remain in place for now, he suggested that conditions exist under which they could be lifted.

“We put a 25 per cent tariff on India for buying Russian oil, and the Indian purchases by their refineries of Russian oil have collapsed. So that is a success. The tariffs are still on. I would imagine there is a path to take them off,” Bessent said.

The remarks come amid heightened geopolitical tension over energy security, sanctions on Russia, and global trade realignments. India has repeatedly defended its energy strategy, stressing the need to ensure affordable fuel for its population of over 1.4 billion people.

New Delhi has also acknowledged a proposed bipartisan bill in the U.S. Congress that could impose duties of up to 500% on countries purchasing Russian oil. Reacting to the development, Ministry of External Affairs spokesperson Randhir Jaiswal said India is closely monitoring the situation.

Bessent further criticised European nations for purchasing refined petroleum products from India that originate from discounted Russian crude, accusing them of indirectly financing the war in Ukraine. He described Europe’s stance as “ironic,” arguing that while the EU avoided similar tariffs on India, it continues to buy refined products made from Russian oil.

The comments come as India and the European Union prepare for the 16th India-EU Summit in New Delhi, where a comprehensive strategic agenda and a long-pending Free Trade Agreement are expected to be finalised. European Commission President Ursula von der Leyen has described the FTA as “the mother of all deals,” potentially creating a market of nearly 2 billion people and covering about a quarter of global GDP.

As global trade faces disruption due to Washington’s tariff policies, India continues to balance strategic autonomy, energy security, and evolving partnerships with both the U.S. and the EU.

Short Summary

U.S. Treasury Secretary Scott Bessent has hinted at a possible removal of the 25% tariffs on India, saying Indian refinery purchases of Russian oil have sharply declined, calling the tariff policy a “huge success” while leaving room for diplomacy.

0 comment
0 FacebookTwitterPinterestEmail

ChatGPT delivered a surprisingly grounded response when asked what a “normal person” should do to become financially free echoing advice long championed by seasoned investing experts.

The moment unfolded on The Diary of a CEO podcast, where host Steven Bartlett posed a deliberately simple question to the AI chatbot. Bartlett, who earns $50,000 a year in the hypothetical scenario, asked ChatGPT to give a one-sentence answer on achieving financial freedom, drawing on “all the wisdom in the world.”

Before revealing the AI’s response, Bartlett turned to guest JL Collins author of The Simple Path to Wealth and a leading voice in passive investing. Collins’ advice was succinct: avoid debt, live below your means, and invest the surplus.

ChatGPT’s answer closely mirrored that philosophy. The chatbot recommended consistently saving and investing in low-cost, broad-based index funds such as the S&P 500, while living below one’s means and allowing compounding to work over time.

Bartlett followed up with another broad question: “How do I earn more?” Once again, the AI’s advice aligned with traditional thinking suggesting the development of high-demand skills, seeking career advancement, exploring side hustles, or investing in assets that generate passive income like real estate or dividends.

Collins noted that the response closely resembled principles from his own work, joking that ChatGPT may have “mined his book.” However, the conversation also turned toward the future of work. Collins observed that skills like programming, once considered essential, may no longer guarantee security in the age of artificial intelligence.

That concern was echoed by OpenAI CEO Sam Altman, who has warned that AI-driven automation could significantly disrupt employment. Altman has said that many customer support roles may be replaced by AI, and that roughly half of all jobs historically undergo major change every 75 years a process he believes may now happen much faster.

The exchange highlights a striking paradox: while AI is expected to reshape careers and disrupt labour markets, its financial advice at least for now remains firmly rooted in old-school discipline rather than get-rich-quick promises.

Short Summary

ChatGPT’s advice on becoming financially free surprised listeners by closely matching the guidance of veteran investor JL Collins emphasising saving, low-cost index investing, skill development and long-term compounding over flashy shortcuts.

0 comment
0 FacebookTwitterPinterestEmail

Apple Pay is reportedly preparing for its long-awaited entry into the Indian market, with the digital payments service expected to launch by the end of 2026, according to a report by Business Standard citing unnamed sources.

The service, which is currently available in 89 global markets, is said to be awaiting regulatory approval in India. Apple is reportedly in discussions with banks, regulators, and card networks to finalise the rollout framework.

In its initial phase, Apple Pay in India is expected to focus on card-based contactless payments rather than the Unified Payments Interface (UPI). The report notes that UPI integration may be introduced later due to more complex regulatory requirements. Apple is also said to be negotiating fee structures with card issuers and is unlikely to seek third-party application provider (TPAP) approval for UPI at the outset.

Once launched, Apple Pay is expected to support Tap to Pay on iPhone, allowing users to make NFC-based contactless payments at compatible point-of-sale terminals. The service can be used via iPhone and Apple Watch at retail stores, restaurants, fuel stations, and other locations displaying contactless payment symbols. It also supports in-app and online payments where Apple Pay is enabled.

The entry of Apple Pay is expected to intensify competition in India’s digital payments ecosystem. Apple’s rival Samsung already offers Samsung Wallet in the country, which supports contactless payments on compatible devices.

Globally, Apple Pay is supported by over 11,000 banks and network partners, including more than 20 local payment networks, according to Apple. If launched, Apple Pay would add another major international player to India’s rapidly evolving digital payments landscape.

Short Summary

Apple Pay is reportedly set to launch in India by the end of 2026, pending regulatory approval. The initial rollout is expected to focus on card-based contactless payments, with UPI integration likely at a later stage.

0 comment
0 FacebookTwitterPinterestEmail

Trump Revives Greenland Proposal at Davos, Draws Firm European Response
Article

Davos, Switzerland | January 21, 2026:
US President Donald Trump reignited controversy at the World Economic Forum (WEF) 2026 after reiterating his view that the United States should gain control of Greenland, prompting strong responses from European leaders and adding to existing transatlantic tensions.

Speaking during his address at Davos, Trump said the United States would not use force to acquire the Arctic territory but maintained that Greenland was strategically important for US national security and global influence in the Arctic. Greenland is an autonomous territory within the Kingdom of Denmark.

Trump’s remarks were closely watched by world leaders attending the summit, which is traditionally focused on global economic cooperation, trade, and climate policy.

European Leaders Reject Proposal

European officials responded firmly, reiterating that decisions regarding Greenland’s future rest with Denmark and the people of Greenland.

UK Prime Minister Sir Keir Starmer said Britain would not compromise on issues of sovereignty, emphasising respect for international law and self-determination. European Commission President Ursula von der Leyen called for greater European strategic autonomy, particularly in light of rising geopolitical pressure and potential trade measures.

The comments underscored growing diplomatic strains between the United States and its European allies.

Tariff Threats Add to Tensions

Alongside his Greenland remarks, Trump again raised the prospect of imposing 10 per cent tariffs on imports from European countries opposing US plans, with the rate potentially rising to 25 per cent if negotiations do not progress.

The tariff threat has raised concerns among European trade officials, though UK Finance Minister Rachel Reeves said existing economic arrangements between London and Washington were expected to remain stable despite political differences.

Calls for Dialogue

Amid the escalating rhetoric, US House Speaker Mike Johnson, addressing lawmakers in the UK Parliament, urged restraint and dialogue, calling for continued cooperation between the United States and its allies.

Broader Implications

Trump’s remarks shifted attention at Davos from economic collaboration to geopolitical divisions, raising questions about the future of:

NATO unity

Transatlantic trade relations

Arctic governance and sovereignty

Greenland’s strategic location, mineral resources, and role in emerging Arctic shipping routes have increasingly placed it at the centre of global geopolitical discussions.

World leaders are now watching closely to see whether the dispute moves toward negotiation or further diplomatic escalation.

Short Summary

US President Donald Trump renewed calls for US control of Greenland during his Davos address, prompting firm pushback from European leaders. The remarks, combined with renewed tariff threats, have heightened diplomatic tensions between the United States and its European allies.Trump Revives Greenland Proposal at Davos, Draws Firm European Response
Article

Davos, Switzerland | January 21, 2026:
US President Donald Trump reignited controversy at the World Economic Forum (WEF) 2026 after reiterating his view that the United States should gain control of Greenland, prompting strong responses from European leaders and adding to existing transatlantic tensions.

Speaking during his address at Davos, Trump said the United States would not use force to acquire the Arctic territory but maintained that Greenland was strategically important for US national security and global influence in the Arctic. Greenland is an autonomous territory within the Kingdom of Denmark.

Trump’s remarks were closely watched by world leaders attending the summit, which is traditionally focused on global economic cooperation, trade, and climate policy.

European Leaders Reject Proposal

European officials responded firmly, reiterating that decisions regarding Greenland’s future rest with Denmark and the people of Greenland.

UK Prime Minister Sir Keir Starmer said Britain would not compromise on issues of sovereignty, emphasising respect for international law and self-determination. European Commission President Ursula von der Leyen called for greater European strategic autonomy, particularly in light of rising geopolitical pressure and potential trade measures.

The comments underscored growing diplomatic strains between the United States and its European allies.

Tariff Threats Add to Tensions

Alongside his Greenland remarks, Trump again raised the prospect of imposing 10 per cent tariffs on imports from European countries opposing US plans, with the rate potentially rising to 25 per cent if negotiations do not progress.

The tariff threat has raised concerns among European trade officials, though UK Finance Minister Rachel Reeves said existing economic arrangements between London and Washington were expected to remain stable despite political differences.

Calls for Dialogue

Amid the escalating rhetoric, US House Speaker Mike Johnson, addressing lawmakers in the UK Parliament, urged restraint and dialogue, calling for continued cooperation between the United States and its allies.

Broader Implications

Trump’s remarks shifted attention at Davos from economic collaboration to geopolitical divisions, raising questions about the future of:

NATO unity

Transatlantic trade relations

Arctic governance and sovereignty

Greenland’s strategic location, mineral resources, and role in emerging Arctic shipping routes have increasingly placed it at the centre of global geopolitical discussions.

World leaders are now watching closely to see whether the dispute moves toward negotiation or further diplomatic escalation.

Short Summary

US President Donald Trump renewed calls for US control of Greenland during his Davos address, prompting firm pushback from European leaders. The remarks, combined with renewed tariff threats, have heightened diplomatic tensions between the United States and its European allies.Davos, Switzerland | January 21, 2026:
US President Donald Trump reignited controversy at the World Economic Forum (WEF) 2026 after reiterating his view that the United States should gain control of Greenland, prompting strong responses from European leaders and adding to existing transatlantic tensions.

Speaking during his address at Davos, Trump said the United States would not use force to acquire the Arctic territory but maintained that Greenland was strategically important for US national security and global influence in the Arctic. Greenland is an autonomous territory within the Kingdom of Denmark.

Trump’s remarks were closely watched by world leaders attending the summit, which is traditionally focused on global economic cooperation, trade, and climate policy.

European Leaders Reject Proposal

European officials responded firmly, reiterating that decisions regarding Greenland’s future rest with Denmark and the people of Greenland.

UK Prime Minister Sir Keir Starmer said Britain would not compromise on issues of sovereignty, emphasising respect for international law and self-determination. European Commission President Ursula von der Leyen called for greater European strategic autonomy, particularly in light of rising geopolitical pressure and potential trade measures.

The comments underscored growing diplomatic strains between the United States and its European allies.

Tariff Threats Add to Tensions

Alongside his Greenland remarks, Trump again raised the prospect of imposing 10 per cent tariffs on imports from European countries opposing US plans, with the rate potentially rising to 25 per cent if negotiations do not progress.

The tariff threat has raised concerns among European trade officials, though UK Finance Minister Rachel Reeves said existing economic arrangements between London and Washington were expected to remain stable despite political differences.

Calls for Dialogue

Amid the escalating rhetoric, US House Speaker Mike Johnson, addressing lawmakers in the UK Parliament, urged restraint and dialogue, calling for continued cooperation between the United States and its allies.

Broader Implications

Trump’s remarks shifted attention at Davos from economic collaboration to geopolitical divisions, raising questions about the future of:

NATO unity

Transatlantic trade relations

Arctic governance and sovereignty

Greenland’s strategic location, mineral resources, and role in emerging Arctic shipping routes have increasingly placed it at the centre of global geopolitical discussions.

World leaders are now watching closely to see whether the dispute moves toward negotiation or further diplomatic escalation.

Short Summary

US President Donald Trump renewed calls for US control of Greenland during his Davos address, prompting firm pushback from European leaders. The remarks, combined with renewed tariff threats, have heightened diplomatic tensions between the United States and its European allies.

0 comment
0 FacebookTwitterPinterestEmail

Article

US President Donald Trump has once again defended the use of tariffs as a central economic policy tool, arguing that import duties help the government raise revenue, protect domestic industries, and encourage consumers to buy American-made products. However, economic data and independent studies suggest that the burden of tariffs largely falls on US consumers and businesses, rather than foreign exporters.

The latest dispute follows Trump’s warning that the United States will impose 10 per cent tariffs from February 1, rising to 25 per cent by June 1, on imports from Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland, unless these countries support his proposal for the US to acquire Greenland. The tariffs would remain in place until what Trump described as a “complete and total purchase” is agreed upon.

Trump has justified the move by calling Greenland “vital to US national security” and citing concerns over European activity in the Arctic region.

Trump’s Case for Tariffs

Trump has consistently argued that tariffs:

increase government revenue,

reduce the US trade deficit,

push consumers toward domestically manufactured goods, and

encourage companies to invest and produce within the United States.

He has framed trade deficits as evidence that the US is being economically disadvantaged by foreign countries and has repeatedly claimed that tariffs can restore manufacturing jobs and industrial capacity.

Rising Costs for Consumers

Evidence from recent years suggests that tariffs tend to raise prices for American consumers. According to the BBC, US inflation rose to 3 per cent in the year ending September, up from 2.4 per cent in April, before easing to 2.7 per cent in November and December.

Several major retailers, including Target, Walmart, and Adidas, have indicated that higher import costs resulting from tariffs are passed on to consumers through price increases.

Industries that rely on global supply chains are particularly affected. In the automobile sector, parts frequently cross US, Mexican, and Canadian borders multiple times during production, meaning tariffs increase costs at several stages of manufacturing.

Who Really Pays?

A study by the Kiel Institute for the World Economy found that around 96 per cent of tariff costs are borne by US buyers, including households and businesses, while only about 4 per cent is absorbed by foreign exporters through lower prices. This makes tariffs function similarly to a consumption tax.

Earlier analyses by institutions such as Goldman Sachs showed that while US firms initially absorbed some tariff costs, these expenses were increasingly passed on to consumers over time.

Various estimates suggest that tariffs have acted like a tax increase of roughly $1,100–$1,500 per household per year, with a US Congressional report estimating the 2025 cost at around $1,200 per family.

Impact on Trade and Jobs

Trump has claimed that tariffs would reduce the US trade deficit. However, during the earlier trade war, the US trade deficit with China widened from about $375 billion in 2017 to $419 billion in 2018, before declining modestly in 2019. Economists note that tariffs often redirect trade flows rather than reducing overall deficits.

Employment data also shows limited benefits. While some protected sectors such as steel and aluminium saw modest job gains, overall manufacturing job growth remained weak. In several industries, higher input costs led to job losses instead of gains.

Research from the Federal Reserve and the International Monetary Fund indicates that tariffs weighed on GDP growth and investment. Estimates cited by The Independent suggest the trade war reduced US economic output by $40–$60 billion annually.

A Mixed Economic Record

While tariffs have provided targeted protection for certain industries, broader data suggests they have increased costs for consumers, strained supply chains, and delivered limited gains in employment and trade balances. Economists widely agree that tariffs alone are unlikely to achieve long-term economic objectives without broader structural reforms.

Short Summary

Donald Trump argues that tariffs boost US revenue, protect domestic industries, and reduce trade deficits. However, studies show that most tariff costs are passed on to American consumers, raising prices, increasing household expenses, and delivering limited gains in manufacturing jobs or trade balances.

0 comment
0 FacebookTwitterPinterestEmail
Silver img

Silver prices surged to a record high in futures trade on Monday, crossing the ₹3 lakh per kilogram mark for the first time, supported by strong global cues and rising investor demand.

On the Multi Commodity Exchange (MCX), silver futures for March delivery jumped by ₹13,553, or 4.71%, to hit an all-time high of ₹3,01,315 per kilogram during the session.

The rally was mirrored in international markets. On global commodity exchanges, the March silver futures contract rose by $5.81, or 6.56%, to touch a record high of $94.35 per ounce.

Market analysts attributed the sharp rise to robust industrial demand for silver, particularly from sectors such as electronics, renewable energy, and manufacturing. A weaker US dollar also supported prices, making dollar-denominated commodities more attractive to investors.

Silver has been outperforming gold in recent sessions, as demand for the white metal remains strong amid expectations of continued industrial consumption and global economic adjustments. Analysts noted that silver’s dual role as both an industrial metal and a precious asset has contributed to heightened investor interest.

Market participants are closely watching global economic indicators, currency movements, and industrial demand trends for further cues on price direction.

0 comment
0 FacebookTwitterPinterestEmail
Rupee to Dollar

The Indian rupee continued its downward trend on Monday, marking its fourth consecutive session of losses as global risk sentiment deteriorated. The domestic currency closed 8 paise weaker at 90.28 against the US dollar, reflecting sustained demand for the greenback amid heightened geopolitical uncertainty and cautious domestic markets.

Although falling crude oil prices offered some relief, it was not enough to offset the impact of a firm US dollar and subdued investor confidence.

Intraday Movement Highlights Persistent Pressure

In the interbank foreign exchange market, the rupee opened slightly firmer at 90.21 but came under pressure as the session progressed. It touched an intraday low of 90.50 before recovering marginally to settle at 90.28 on a provisional basis.

Since December 30, 2025, when the rupee closed at 89.75, the currency has weakened by 53 paise. Recent sessions have seen consistent pressure, with losses recorded on each trading day heading into the new year.

Geopolitical Developments Drive Dollar Demand

Forex market participants pointed to renewed geopolitical tensions following US military action in Venezuela as a key factor behind the rupee’s weakness. The escalation prompted investors to seek safety in the US dollar, strengthening it against most global currencies.

The dollar index, which measures the greenback against a basket of major currencies, rose by 0.24 percent to trade near 98.39, underscoring the broader safe-haven demand.

Crude Oil Decline Offers Limited Support

A notable counterbalance came from the energy markets, where Brent crude prices declined modestly to around USD 60.53 per barrel. Lower oil prices typically support the rupee by easing India’s import bill, but in the current environment, global risk aversion overshadowed this positive factor.

Market experts noted that continued softness in crude prices could help limit further downside for the currency in the near term.

RBI Reserves and Possible Intervention in Focus

Analysts also highlighted the role of India’s strong foreign exchange reserves, which rose by over USD 3.2 billion to USD 696.61 billion in the latest reporting week. The robust reserve position provides the Reserve Bank of India with ample room to intervene if volatility intensifies.

According to market expectations, any central bank action, combined with softer crude prices, may help stabilise the rupee around current levels.

Equity Markets Add to Cautious Tone

Domestic equity markets mirrored the cautious mood. The Sensex declined over 320 points to close at 85,439.62, while the Nifty slipped below recent highs to end at 26,250.30. Weak equities often add pressure on the currency by dampening foreign inflows, though foreign institutional investors were marginal net buyers in the previous session.

Near-Term Outlook for the Rupee

Looking ahead, currency traders are expected to closely monitor global macroeconomic cues, including US manufacturing data and further geopolitical developments. The USD-INR pair is likely to trade within a broad range of 90.00 to 90.60 in the near term, with volatility driven largely by external factors.

0 comment
0 FacebookTwitterPinterestEmail
Equity Markets

Indian equity markets delivered a confident performance in the first trading week of 2026, ending January 2 at record closing levels after weeks of consolidation. A mix of improving earnings expectations, optimism around the upcoming Union Budget, and sector-specific tailwinds helped indices move higher, while broader markets also showed steady participation.

After trading in a narrow range through most of December, investors appeared more willing to take positions, encouraged by early signals of resilient domestic demand and stable macroeconomic conditions.

One of the key factors supporting the rally was anticipation around December quarter (Q3FY26) earnings. Market participants expect corporate results to reflect steady consumption trends, improving margins in select sectors, and continued credit growth.

At the same time, expectations that the Union Budget may include measures to support growth, infrastructure spending, and manufacturing added to the positive undertone. Together, these factors helped lift sentiment across both frontline and broader indices.

Sector-wise, the auto space stood out, supported by encouraging December sales data that pointed to sustained demand across passenger and commercial segments. PSU banks also remained in focus as improving asset quality and expectations of faster credit expansion attracted buying interest.

The utilities segment gained traction on hopes of rising power demand and increased industrial activity. In contrast, FMCG stocks faced pressure, largely due to selling in ITC, which weighed on the otherwise stable defensive pack.

Broader markets outperformed benchmark indices during the week, with midcap stocks showing stronger momentum than large caps. Smallcaps also posted gains, though at a more measured pace.

Meanwhile, precious metals witnessed sharp profit booking. Gold futures fell nearly five percent during the week, while silver declined around 1.5 percent, reflecting shifting risk appetite and positioning after recent gains.

Weekly Market Performance Snapshot

By the close of the week, the Nifty 50 had gained 286 points, rising 1.1 percent to end at 26,329. The BSE Sensex advanced 721 points, or 0.85 percent, to settle at 85,762.

Among broader indices, the Nifty Midcap 100 climbed 1.74 percent, while the Nifty Smallcap 100 added 0.77 percent, underlining improving participation beyond frontline stocks.

What to Watch in the Coming Week

Looking ahead to the week beginning January 5, markets are expected to trade in a range with a positive bias. Investors will closely track provisional quarterly business updates and early earnings-related commentary.

Global cues may introduce some near-term volatility, particularly around geopolitical developments involving the US and Venezuela. Additionally, key global data points such as US payroll numbers, unemployment figures, services PMI, and inflation data from China could influence market direction. Movements in crude oil and precious metals prices will also remain on the radar.

While near-term fluctuations cannot be ruled out, the broader market tone remains constructive. Strong domestic fundamentals, improving sectoral trends, and expectations of policy support continue to provide a stable base for equities as the new year unfolds.

0 comment
0 FacebookTwitterPinterestEmail
GPU

The global graphics card market is heading into a turbulent phase. According to industry chatter, both AMD and Nvidia are preparing to substantially increase prices for their consumer GPUs this year. If the trend unfolds as expected, the first wave of hikes could begin as early as January for AMD and February for Nvidia, with further increases rolling out gradually through the rest of the year.

For everyday consumers, especially PC gamers, this signals a challenging period ahead as graphics cards become increasingly expensive.

Why GPUs Are Becoming More Expensive

At the core of these anticipated price hikes is the rapidly rising cost of memory and other critical components. The construction of large-scale AI data centres across the globe has created intense demand for GPUs and high-performance memory, pushing prices upward throughout the hardware supply chain.

Unlike previous cycles driven primarily by gaming or crypto mining, this surge is rooted in long-term infrastructure investment. AI companies are locking in massive quantities of hardware in anticipation of future needs, tightening supply for the consumer market.

Gradual Increases, Not a One-Time Jump

Industry sources suggest that these increases may not be limited to a single adjustment. Instead, prices are expected to rise incrementally over the course of the year. High-end models are likely to be affected the most, including Nvidia’s GeForce RTX 50 series and AMD’s upcoming Radeon RX 9000 lineup.

Some projections indicate that flagship GPUs could see dramatic shifts in pricing over time, reflecting both production costs and what the market is willing to bear.

AI’s Growing Appetite for Compute Power

The broader context behind these developments is the explosive growth of artificial intelligence. Leading AI firms are consuming GPUs at unprecedented rates. Executives across the tech industry have openly acknowledged that next-generation AI models will require exponentially more computing power than earlier systems.

This demand is not just theoretical. Companies are already stockpiling hardware, even as infrastructure challenges such as power availability limit how quickly these GPUs can be deployed. The result is sustained pressure on supply, with manufacturers prioritising enterprise and AI customers who can absorb higher prices.

What This Means for Gamers and PC Builders

For gamers and PC enthusiasts, the implications are clear. As supply tightens and prices rise, building or upgrading a gaming PC is likely to become significantly more expensive. Even mid-range components may see noticeable price increases due to basic supply-and-demand dynamics.

At the same time, the gaming industry itself is increasingly embracing AI in development, testing, and production workflows. This further ties the future of gaming hardware to the broader AI economy, making price relief unlikely in the near term.

A Market Redefined by AI Priorities

The GPU market is no longer driven solely by gamers and creators. AI has become the dominant force shaping pricing, availability, and long-term strategy for hardware manufacturers. While this shift fuels innovation, it also places everyday consumers at a disadvantage in an increasingly competitive market.

As 2026 progresses, buyers may need to rethink upgrade plans, explore alternative options, or simply prepare for a new reality where high-performance GPUs come at a much steeper cost.

0 comment
0 FacebookTwitterPinterestEmail
Newer Posts

Our News Portal

We provide accurate, balanced, and impartial coverage of national and international affairs, focusing on the activities and developments within the parliament and its surrounding political landscape. We aim to foster informed public discourse and promote transparency in governance through our news articles, features, and opinion pieces.

Newsletter

Laest News

@2023 – All Right Reserved. Designed and Developed by The Parliament News

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?
-
00:00
00:00
Update Required Flash plugin
-
00:00
00:00