I don’t know if there will be an “oversupply” of GPUs, because now they are all manufactured at foundries and the chip companies can just cut their orders. But with Intel coming into the market, Samsung switching to TSMC, and TSMC putting in $120b of capex, the shortage should be alleviated pretty soon.

If there's an oversupply of GPU chips _and_ everyone builds them into products and sells them. There's a fair amount of demand in that specific instance but that doesn't translate into capacity for everything else and companies aren't going to be quick to lower prices.

> Because if they wanted them they would buy them?

Only if they can afford them and can justify the purchase. People want many things that for various reasons they don't acquire. It may be cost (units would have to be sold at a loss to get down to consumer-comfortable pricing), it may be that it's part of a larger system. For me to get a new AMD CPU I'd also need a compatible motherboard and, possibly, different RAM (either for physical compatibility or to get an actual performance improvement, even if my old RAM "works" if it's sufficiently slow it's a bottleneck that makes the purchase not worthwhile to me).