What makes processors so expensive?

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1091568

2026-04-04 16:15

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because infrastructure needed to build one + ingeners.

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Microchips and expecially CPUs use quantities of very rare metals such as Indium, Iridium, Technium, etc. most of which are much more expensive, weight for weight than diamond. There is also believed to be very little of these elements left, increasing the price.

Also, an individual microchip/CPU costs millions of dollars to initially produce but no too much to replicate. This means that for CPUs like Intel/AMD where millions will be produced then the price can be limited but where only a handful will be used (special projects, NASA, DARPA, etc.) then they can cost in the millions per chip.

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