Memory Cost Increases Impact Raspberry Pi
Raspberry Pi boss Eben Upton has officially announced price rises for some 16GB products. Specifically, the price of the 16GB Raspberry Pi 5 is being raised by $80 to $385, and the 16GB Raspberry Pi Compute Module 5 will go up by $40. In a glimmer of better news, the price of the Raspberry Pi 500+ all-in-one desktop, which also features a 16GB model, is being held, but it was already rather pricey.
Upton framed the decision to raise prices as being due to steep rises in the cost of memory over the past two years. He explained that other computer makers have had to make similar decisions recently, and added that Raspberry Pi had been doing what they could to minimize costs passed on to customers.
The price rise of the headline 16GB Raspberry Pi 5 to $385 is effective immediately, as is the $40 increase to the CM5 16GB variant. Both of these 16GB devices have seen prior increases in price since being launched at $120 and $135, respectively.
Some moderately good news was that there would be no price increase today for the Raspberry Pi 500+ 16GB all-in-one keyboard wedge computer, though it remains expensive at $485.
Broader Industry Impact
Several waves of price increases have affected single-board computers since memory component costs began to climb. Prior blog updates noted price increases for the 2GB Raspberry Pi 4 and Raspberry Pi 5 models, rising by $12.50 to $67.50 and $77.50 respectively, highlighting the heavy impact of RAM pricing.
The price comparisons between high and low memory density models make it crucial for buyers to ensure they are not paying for more memory than they need. Meanwhile, hobbyists and makers are increasingly moving away from full-sized Pi and CM products for certain DIY projects.
The Pi and Pricing Relationship
Higher pricing affects various computer products, but it has a distinct impact on Raspberry Pi's traditional business model. Generations of the device were explicitly designed around strict budget constraints, famously sticking to a $25 to $35 target price for many years.
The core Raspberry Pi business is now squeezed by simpler microcontrollers at the low end, where Picos and ESP32 boards have become popular for small projects. At the high end, with prices approaching $400 or $500, makers frequently consider entry-level x86 single-board computers and mini PCs that offer stronger CPUs, GPUs, NPUs, and greater expandability.
