"What Should We Do When It's Essential for Our Kids?" From 1.94 Million to 2.9 Million Won... Chinese Parents Sigh Over Soaring Prices

IT Device Prices in China Soar Across the Board
Sales Sluggish Despite Peak Season

The recent surge in IT device prices in China has caused deep sighs among parents whose children are about to start school.

On August 10, CRI Online reported, "Despite the summer being a peak season, the sales rate for smartphones, desktop computers, laptops, and tablet PCs is significantly lower than in previous years, due to rising prices."

Photo to aid article understanding. Pixabay.

Instead of Price Cuts, Soaring Trend Continues

In China, the academic year starts in September, and it is usually around this time that a purchasing frenzy for PCs occurs. The choices are wide and discounts are significant, making it the best season to buy value-for-money products. However, this year, instead of price drops, the soaring trend in prices continues.

A consumer surnamed Zhang said that after comparing prices both online and offline for a week, he found that in previous years one could purchase a decent laptop for 5,000 yuan (about 1.05 million won), but this year, even basic models start at 6,000 yuan (about 1.26 million won). In fact, the average transaction price for a popular laptop model jumped from 9,237 yuan (about 1.94 million won) to 13,834 yuan (about 2.9 million won), which is an increase of 4,597 yuan (about 960,000 won), marking a nearly 50% rise.

Prices have also increased for desktops, smartphones, and tablet PCs. Following major brands' price hikes, recent checks have confirmed that many models on the official Xiaomi store have also risen in price. Mr. Jin, who purchased a full set of high-performance devices including a laptop and an iPad for his child who is about to start university as an engineering student, shared, "It cost a total of 18,000 yuan (about 3.77 million won), which is 5,000 yuan (about 1.04 million won) more than last year."

Even Vendors Sigh Over Price Increases

The recent surge in prices of IT devices in China has caused deep sighs among parents with children about to start school. AI-generated image.

Complaints about the price surge are flooding social media platforms as well. Netizens are saying, "When is the right time to buy?" and "Should I wait for a large-scale discount event?" One student revealed, "The laptop I bought for 5,768 yuan (about 1.21 million won) in June rose to 7,800 yuan (about 1.64 million won) by August."

Not only consumers but also vendors are struggling with the impact of rising prices. A representative of a vendor said that the prices of components such as RAM, graphics cards, and SSDs have all increased compared to the same period last year. In particular, the price increase for graphics cards has been significant: last month they were in the 2,700-yuan range (about 560,000 won), but have recently surged to 3,300–3,400 yuan (about 690,000–710,000 won).

Local experts have pointed to the so-called "AI tax" as a key factor behind this spike in IT device prices. The global boom in building large language models (LLMs) and data centers for AI has sharply increased demand for memory chips, severely reducing the supply of memory semiconductors for consumer electronics as a result.

The media diagnosed that core resources such as electricity, semiconductors, and production lines are now being concentrated in the AI sector. Furthermore, it reported, "The surge in upstream semiconductor chip prices, driven by high-performance bulk purchases by big tech AI companies, is ultimately being passed on as an increased cost burden to finished product manufacturers and general consumers."

This content was produced with the assistance of AI translation services.