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Normally we expect the price of game consoles to decrease as they age, but the current generation has only seen price increases. Sony raised PlayStation 5 prices in April – and a year earlier, in August – and Nintendo plans to raise Switch prices in September. Additionally, after the Steam Deck recently sold out, Valve increased the price of the console once it was back in stock.
However, it’s not just game console prices that are skyrocketing. Crucial components for PC gaming also suffer from individual inflation. Recently, Intel started raising the prices of its Core Ultra processors, including the Ultra 7 270K Plus and the Ultra 5 250K Plus. Tom’s Hardware was one of the first outlets to notice this change. Previously, the Ultra 7 had a suggested price of $289 to $299, but the MSRP is now listed between $339 and $349. Meanwhile, the Ultra 5 sold for between $189 and $199, but Intel now recommends between $219 and $229. That’s $50 more for the Ultra 7 and $30 more for the Ultra 5.
This price increase may seem minimal, but it is nonetheless one additional cost among many others. Earlier this year, graphics cards were hit with big price increases, with Nvidia’s high-end RTX GPUs being hit the hardest, while RAM prices are 1.5 times more expensive than before the AI bubble and are expected to rise even more. You can still build a budget gaming PC for less than $1,000, but new Intel processor prices make the feat slightly more difficult.
The S in MSRP means Suggested
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In the spirit of fairness, the new prices listed on the Intel Store are only the “recommended customer price”. Although retailers often follow these cost guidelines, they are not required to do so.
Let’s take a look at the Amazon listings for the Intel Core Ultra 7 270K Plus processor and the Ultra 5 250K Plus processor. At the time of writing, these items retail for $309.99 and $219.99, respectively. So while the Ultra 5 follows the new MSRP guide, the Ultra 7 doesn’t entirely. In truth, the Ultra 7 is 13% off and its “regular” price is $357.12. Additionally, according to each component’s price history tools, the cost of each item has remained within its respective general range for at least several weeks (despite sales). Meanwhile, B&H Photo Video is selling the Ultra 7 processor for $314.99 (normally $329.99) and the Ultra 5 for $229.99.
Ultimately, retailers set their own prices. Although Intel recommends selling its processors at higher prices, if a retailer is not on board with these changes (and wants to remain competitive), they will ignore the MSRP. Then again, stores may not have raised item prices yet to reflect the new pricing guideline because Intel was a little too tight-lipped about its price hike.
