When Advanced Micro Devices (NASDAQ: AMD) launched its Ryzen 5000 desktop CPUs in late 2020, there were good reasons why the company had nothing to offer below $299. The semiconductor industry was hamstrung by component shortages, so it made sense for AMD to focus on higher-end products.

This time around, that same strategy makes a little less sense. There are still pockets of shortages across the semiconductor industry, but the great semiconductor shortage is quickly coming to an end. Chip companies, including Micron and Nvidia, are dealing with an oversupply of chips as consumer demand for PCs has plunged.

Image source: AMD.

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Source Fool.com