Recent reports from Asia are sharpening concerns that Nvidia may significantly scale back production of its GeForce RTX 50 series graphics cards in the first half of 2026, not because of weak demand alone, but due to tightening memory supply across the board.

According to industry sources cited by China-based outlet BoBantang and amplified by hardware site Benchlife, Nvidia is preparing to reduce GeForce GPU output by as much as 30–40% compared with the same period in 2025.

At the center of the issue is memory. While early speculation focused narrowly on shortages of GDDR7, the newer and faster memory standard used in Nvidia’s latest GPUs, the reports suggest a broader crunch affecting multiple memory types. That points to a more systemic constraint tied to rising DRAM and NAND prices, which are already climbing sharply and feeding through the wider PC supply chain.

If accurate, the scale of the reported cuts is striking. A reduction of up to 40% in GeForce production would mark a major shift for Nvidia’s consumer graphics business, particularly given that there is no indication, at least so far, of similar reductions affecting the company’s non-GeForce or professional RTX PRO lineup.

That omission has fueled speculation that Nvidia may be reallocating scarce memory supplies toward its higher-margin, workstation- and enterprise-focused products, where profit per unit is substantially higher than in the mass-market gaming segment.

Benchlife reports that Nvidia could begin the adjustment by trimming output of specific models, notably the GeForce RTX 5060 Ti 16GB and the RTX 5070 Ti. From a commercial standpoint, those choices are telling. Both cards carry relatively large memory configurations, comparable in capacity to more expensive products like the RTX 5080. In a constrained environment, the same GDDR7 memory used in a mid-range GeForce card could instead be deployed in a premium SKU that delivers far greater margins.

This logic aligns with Nvidia’s broader business trajectory. Over the past several years, the company has increasingly prioritized segments that generate outsized returns, from data center accelerators to professional visualization and AI workloads. Even within gaming, Nvidia has shown a willingness to segment aggressively, offering lower-memory variants that are cheaper to produce while reserving higher VRAM capacities for pricier models.

For consumers, especially gamers, the implications are less encouraging. The RTX 5060 Ti 16GB has been widely viewed as a more future-proof option than its 8GB counterpart, offering enough video memory to handle modern games without heavy compromises in texture quality or performance. If production of the 16GB variant is curtailed, buyers may be nudged toward lower-memory cards that struggle with newer titles, or pushed up the pricing ladder to more expensive GPUs.

Industry sources cited by Benchlife say that Nvidia’s add-in card partners and component suppliers have also been briefed that the RTX 5070 Ti and RTX 5060 Ti 16GB will be among the first models affected. That suggests the reported strategy is not merely speculative but is already being communicated along the supply chain, even if Nvidia itself has not publicly confirmed any such plans.

This comes when DDR5 memory prices have already surged, and analysts expect those increases to ripple into GPU pricing as manufacturers grapple with higher input costs. In such an environment, prioritizing lower-memory cards and premium, high-margin products becomes an obvious defensive move for suppliers, even if it leaves mainstream buyers worse off.

The broader market impact is harder to pin down. A deliberate reduction in GeForce output raises the risk of tighter supply, particularly if demand remains steady or rebounds in 2026. That, in turn, could put upward pressure on GPU prices, reviving dynamics that consumers experienced painfully during previous shortages, when limited availability and strong demand combined to push prices far above suggested retail levels.

At the same time, the reported cuts could also reflect Nvidia tempering its expectations for PC and gaming demand next year. Higher memory costs, coupled with broader inflationary pressures, may weigh on consumer spending and slow upgrade cycles. In that scenario, trimming production would be as much about avoiding excess inventory as it is about managing scarce components.

What is clear is that memory has emerged as a strategic bottleneck, not just a technical one. If GDDR7 and other memory supplies remain tight, Nvidia’s decisions about where to deploy those resources will shape the graphics market in 2026, determining which products are plentiful, which are scarce, and how much consumers ultimately pay.

However, the reports are pointing to a familiar pattern: when constraints bite, Nvidia appears inclined to protect margins first. Some analysts believe that whether this leads to another period of elevated prices and limited choice for gamers will depend on how severe the memory crunch becomes—and how quickly the supply chain can respond.

Coursera and Udemy on Wednesday announced a landmark merger agreement valued at about $2.5 billion, bringing together two of the world’s most prominent online learning platforms at a time of rapid technological change and mounting investor pressure.

Under the terms of the deal, Coursera will acquire Udemy in an all-stock transaction, creating a combined company with a broad reach across individual learners, enterprises, and professional instructors. The companies said the merger is expected to close in the second half of next year, subject to regulatory approvals and shareholder consent.

The agreement comes against a challenging backdrop for both firms. Despite posting revenue growth in the third quarter of 2025, Coursera and Udemy have struggled to convince investors of their long-term growth narratives. Their shares have trended lower over the past year, reflecting concerns about slowing user growth, rising competition, and questions over how quickly online education platforms can translate engagement into sustained profitability.

By combining forces, the two companies are betting that scale, complementary strengths, and a more aggressive push into artificial intelligence can help reverse that skepticism.

Udemy CEO Hugo Sarrazin framed the deal as a way to unlock shareholder value while strengthening the platforms’ offerings.

“Through this combination with Coursera, we will create meaningful benefits for our learners, enterprise customers, and instructors, while delivering significant value to our shareholders, who will participate in the substantial upside potential of the combined company,” he said.

Coursera and Udemy have historically served overlapping but distinct segments of the market. Coursera has built its reputation around university partnerships, professional certificates, and degree-linked programs, while Udemy has focused more heavily on a marketplace model driven by individual instructors and enterprise training for businesses. Executives say the merger will allow the combined company to offer a more comprehensive learning ecosystem, spanning academic credentials, workforce reskilling, and on-demand professional training.

Artificial intelligence sits at the center of the strategic rationale. Both companies have moved quickly this year to embed AI into their platforms, positioning it as a tool to personalize learning, shorten course formats, and better align content with evolving job requirements. Sarrazin said the merger would accelerate the rollout of AI-powered products, as the online learning market expands alongside the adoption of AI across industries.

Coursera recently announced an integration with OpenAI’s ChatGPT app ecosystem and a content partnership with Anthropic, signaling its intent to stay close to the cutting edge of generative AI. Udemy, meanwhile, rolled out a new “AI-powered microlearning experience” earlier this week, designed to deliver shorter, more targeted lessons tailored to learners’ schedules and skill gaps.

The companies also see the deal as a way to address a structural shift in the labor market. As AI reshapes workflows, demand for continuous reskilling has intensified. Job postings requiring AI-related skills have surged in recent years, and surveys suggest a growing share of employers now view AI literacy as a baseline requirement rather than a niche qualification.

“We’re at a pivotal moment in which AI is rapidly redefining the skills required for every job across every industry,” Coursera CEO Greg Hart said. “Organizations and individuals around the world need a platform that is as agile as the new and emerging skills learners must master.”

Still, the merger faces hurdles. Regulatory scrutiny is likely, given the scale of the combined platform and its influence over a fast-growing segment of digital education. Investors will also be watching closely for details on cost synergies, integration risks, and whether the deal can deliver the growth and margin expansion that both companies have struggled to achieve on their own.

Overall, the agreement signals consolidation in an industry that boomed during the pandemic but has since entered a more demanding phase. With AI transforming both how people learn and what they need to learn, Coursera and Udemy are betting that size, technology, and a unified strategy will be enough to regain momentum and restore confidence in the future of online education.