Chip shortage forces temporary Raspberry Pi 4 price rise for the first time

Ten-buck increase for 2GB model 'not here to stay' says Upton


The price of a 2GB Raspberry Pi 4 single-board computer is going up $10, and its supply is expected to be capped at seven million devices this year due to the ongoing global chip shortage.

Demand for components is outstripping manufacturing capacity at the moment; pre-pandemic, assembly lines were being red-lined as cloud giants and others snapped up parts fresh out of the fabs, and the COVID-19 coronavirus outbreak really threw a spanner in the works, so to speak, exacerbating the situation.

Everything from cars to smartphones have been affected by semiconductor supply constraints, including Raspberry Pis, it appears. Stock is especially tight for the Raspberry Pi Zero and the 2GB Raspberry Pi 4 models, we're told. As the semiconductor crunch shows no signs of letting up, the Raspberry Pi project is going to bump up the price for one particular model.

The 2GB Raspberry Pi 4 will now once again set you back $45, an increase of $10 from its previous retail price. It used to be $45, then was brought down to $35 early last year when the 1GB model was discontinued. Now it's back up again. This is the first time the project has hiked its prices, the trading arm of the Raspberry Pi Foundation said.

Don’t worry, however, the bump is said to be temporary and the module will eventually return to its original price of $35, company CEO Eben Upton announced on Wednesday.

The 4GB Raspberry Pi 4 and 8GB Raspberry Pi 4 versions will remain at $55 and $75, respectively. For those relying on a supply of $35 2GB boards, the project will bring back those 1GB Raspberry Pi 4 modules, priced $35.

"This provides a degree of choice: less memory at the same price; or the same memory at a higher price," said Upton. 2GB for $45 or 1GB for $35. A choice, but not one people might expect.

“As many of you know," he continued, "global supply chains are in a state of flux as we (hopefully) emerge from the shadow of the COVID-19 pandemic. In our own industry, semiconductors are in high demand, and in short supply: the upsurge of demand for electronic products for home working and entertainment during the pandemic has descended into panic buying, as companies try to secure the components that they need to build their products ... At Raspberry Pi, we are not immune to this."

The project is expected to make around seven million of its computer boards total this year, maintaining the same level of production as last year as the pandemic took hold of the world. This is unlikely to increase much next year either, Upton said. Judging from his explanation, this figure is lower than hoped: "Despite significantly increased demand, we’ll only end up making around seven million units in 2021."

Pis containing 40nm chips will feel the chip crunch the hardest over the next year, meaning there will be limited supplies of devices older than the current generation of Raspberry Pi 4, Raspberry Pi 400, or Compute Module 4.

“In allocating our limited stocks of 40nm silicon, we will prioritise Compute Module 3, Compute Module 3+, and Raspberry Pi 3B, and deprioritise Raspberry Pi 3B+ ... Our guidance to industrial and embedded users of Raspberry Pi 3B+ who wish to optimise availability in 2022 is to begin migrating your designs to the 1GB variant of Raspberry Pi 4,” Upton said.

The biz expects to be able to make enough systems using 28nm silicon – namely the Raspberry Pi 4 and Compute Module 4 – over the next 12 months to hold their price... bar the aforementioned 2GB model.

“These changes in pricing are not here to stay. As global supply chain issues moderate, we’ll keep revisiting this issue, and we want to get pricing back to where it was as fast as we can,” Upton concluded. ®

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