The Intel Chip giant reportedly told customers that they would raise the price of most microprocessors and peripheral chip products. According to a report at Nikkei Asia, the largest US chip maker plans to increase the price of mainstay products such as the central processing unit for servers and computers as well as on various items, including chips for Wi-Fi and other connectivity. In a statement of Nikkei Asia, the company said, “In Q1’s revenue calls, Intel indicates that it will increase prices in certain business segments due to inflationary pressure. The company has begun to inform customers about this change.”
Why is the price increase
Intel has reportedly quoted an increase in costs for price increases. The company says that price increases are needed because of the surge for production and materials. Intel notification to clients came when almost the whole world was in a severe grip of inflation. In the US also, consumer prices are reported to have increased 9.1% in June, a record of 40 years.
How much price increases

According to the report, the percentage of the increase has not been completed. They can be different for various types of chips, “but tend to range from an increase of one digit of a minimum of more than 10% and 20% in some cases.”
Intel is not the only one
The largest contract chip maker in the world of Taiwan Semiconductor Manufacturing Company (TSMC) recently told clients that they would raise prices with a percentage of “one digit” starting in 2023. The company plans to increase prices for most fabrication processes by 6% starting from January 2023, according to the report on Digitimes. In May, Bloomberg reported that Samsung would increase the price of chip making by 20%. Samsung, however, has not responded to the report. Chip maker who are relatively smaller based in China, semiconductor, International Corp, also said to investors that they will increase the price given the increase in material costs.