Data centres aren’t run by hardware manufacturers. When Nvidia/Micron/Samsung run out of enterprise corporations to bilge funds out of, they will return back to selling to consumers.

Does this mean that things will 100% return to how they were in the ‘Before Times’? No, let’s be real - the surplus of under-used data centres will definitely result in a push towards cloud gaming, online experiences and the like - but in an ideal scenario we would end up with more choice and not less.

But again, this all hinges on the current AI bubble bursting in the near future - followed by a pretty bad recession/depression.

The principal of supply and demand still applies, they will cut prices up until the point they either go out of business or they find a sufficient number of buyers.

Companies like Nvidia, Micron and Samsung are currently chasing massive profits off enterprise customers, but will come crawling back to consumers once the AI bubble bursts (assuming they survive the resulting market collapse).

As an example, if Nvidia can turn one TSMC wafter into one AI accelerator that they can sell for $40K, or into ~5 RTX 5090s they can sell for $2K/ea - they will sell as many of the $40K cards as they can, and only use failed wafers to try and satiate RTX 5090 demand.

But if there are no more AI customers, they will be forced to drop prices in order to shift more volume. If they can’t drop prices further due to wafer costs, then they will pass up wafer allocations from TSMC.

If TSMC sees too many wafers free up - they will be forced to drop prices to all customers (AMD, Apple etc.) to try and pick up the slack. They in turn will need to drop prices in order to try and increase sales volumes.

This will have a downwards pressure on prices and a “return to the mean” moment for tech prices. It will just be a painful couple of years until we get to that point, and honestly with the way things are currently going - it will be the least of our worries.

The funny thing about Disney, and believe me, I don't want to defend them here, is that they've found ways to admit and fit far more people into the park as demand rose for a thing that inherently has fixed supply. More or less the same thing is happening with GPUs and memory right now as AI demand is sucking up so much supply and they can't be produced any faster. The supply can't increase, so the prices go up. They have to. Nintendo and Sony both know they stand to make more money after the fact if they sell you a cheaper console, but they can't lose $200 per unit either, or there's very little chance they make a profit on it ever.

The Steam Machine is just about the only "Console" that can not be a loss leader because it's just a PC.

If it's too good of a deal - people will just buy them for offices.