Intel has informed its clients it will raise prices on most of its microprocessors and other chip products this year, citing global inflation.

Nikkei Asia cites “three industry executives with direct knowledge”, who claim Intel will boost prices for CPUs, as well as chips for Wi-Fi, and a wide range of other products.

This comes as Intel’s plans to build a giant A$29 billion chip factory in Ohio were delayed, due to the dawdling around the CHIPS act in the US, which would see the US government pump billions of dollars into bolstering semiconductor manufacturing in America.

“It’s time to get all the chaff out of the way, get to the core issues, get decisions made over the next two weeks,” Intel CEO Pat Gelsinger said of the delay.

Aside from rising costs, there is also dwindling demand for PCs, with Intel client Acer and Asus each warning of a cooling off.

Acer Chairman Jason Chen said the chip shortage is over.

“Some of the chip suppliers’ CEOs even called me recently to buy more chips from them,” he said.

“The situation has changed.”

Any price hike from Intel is likely to impact the entire PC and laptop market, will the rising costs passed onto the consumer.

CEO Pat Gelsinger said the company would “remix the products to higher price points.

“On its Q1 earnings call, Intel indicated it would increase pricing in certain segments of its business due to inflationary pressures,” Gelsinger confirmed.

“The company has begun to inform customers of these changes.”