this post was submitted on 04 Sep 2026
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I think it’s going to be a combination of factors - I remember there being some news a few years ago about a fresh water shortage in Taiwan straining PCB production.
There’s definitely going to be some shift in IC component production too, to supplement the seemingly bottomless demand from data centres.
Coupled with the fact that yes - customer demand is down quarter-on-quarter; they will need to lift pricing to make up for the shortfall in Gross Profits, in order to cover their fixed Operating Costs.
So it’s literally a case of x + y = industry is pretty fucked.
I wouldn’t be surprised if a few of the legacy brands, who haven’t already expanded/pivoted to peripherals and other markets will go out of business or be bought-out by private capital or competitors before the dust settles post-AI market crash.