Motherboard sales are now collapsing amid unprecedented shortages fueled by AI (www.tomshardware.com)

Motherboard sales are experiencing a drastic decline, primarily due to unprecedented shortages in components driven by the burgeoning demand for AI technologies. Major chip manufacturers like Nvidia, Intel, and AMD are prioritizing AI processor production over consumer chips, which has led to inflated prices for essential PC components such as memory modules and storage drives. As a result, consumers are reluctant to upgrade their systems, delaying purchases and leading major motherboard manufacturers to revise their sales targets downwards significantly. For instance, Asus anticipates a 33% drop in sales, while ASRock faces a 37% contraction in shipments. This shift in the market underscores the widespread impact of AI on the tech ecosystem. As companies divert resources towards AI infrastructure, traditional PC builders and enthusiasts are left competing for a reduced supply of components, driving prices higher. Despite these challenges, some manufacturers have adapted by redirecting production towards AI servers, allowing them to benefit from the influx of investments in data centers. While this situation creates bargains in certain motherboard combos, overall pricing pressures from elevated demand and limited supplies continue to complicate the PC-building landscape for consumers.