Commercial Display Industry Amid Motherboard Price Volulence: The Real Challenge in Late 2025 and Our Response

1. Demand "Hijacking": The explosive global deployment of edge AI infrastructure is competing with us for the same types of high-performance chips and memory resources. The prioritized allocation of factory capacity is now an indisputable fact.

2. The "Cost of Restructuring" Supply Chains: Geopolitical shifts driving supply chain regionalization are incurring real costs. Establishing backup production lines and meeting new compliance requirements—each ultimately reflects in component prices.

3. Technological "Generational Shift": Major chip manufacturers are accelerating the phase-out of older process products. To ensure a stable supply for the next five years, we are compelled to migrate our product lines to new-generation platforms, which inherently comes with design costs and initially higher material costs.

Budget Overruns: Assemblers reliant on spot purchasing may propose price adjustments mid-project.

Delivery Delays: Extended lead times for core components could disrupt the entire project timeline.

Quality Compromises: Under cost pressure, some manufacturers might use consumer-grade or unproven alternative components, sowing hidden risks for future 24/7 stable operation.

First, "Locking In."

Leveraging our annual purchasing volume, we have signed volume-and-price-lock agreements with core chip partners for the first half of 2026. This was no easy feat, but it builds a cost-defense line for our clients' ongoing projects.

Second, "Optimizing."

Our hardware team has re-examined the motherboard design of our flagship models—from high-brightness outdoor Advertising Displays to dual-screen interactive floor-standing terminals. The goal is not "downgrading specs" but "improving efficiency." For instance, in the new design, by optimizing power management and circuit layout, we reduced power consumption by 8% while maintaining performance. This saves not only electricity costs but also cooling costs and component stress, partially offsetting the impact of material price increases.

Finally, "Being Transparent."

We require our sales team to communicate transparently with every affected client. If adjustments are necessary, we explain the reasons upfront and provide alternative solutions, such as recommending star inventory models with similar performance and more stable supply, or discussing the possibility of phased deployment.