Ongoing RAM Deficit Could Lead to Higher Costs for PCs and Smartphones

The affordability of smartphones and AI-driven personal computers may soon become a thing of the past as prices are predicted to rise in the upcoming year.

The Persistent RAM Shortage

A significant shortage in global memory supply seems poised to extend through 2027, according to the International Data Corporation (IDC). This new challenge suggests that the era of readily available and inexpensive memory, which includes RAM, could be over for the foreseeable future.

Recent months have witnessed a steep climb in RAM prices, influenced by the allocation of resources by major memory producers like Micron, Samsung, and SK Hynix towards fulfilling the demands of artificial intelligence ventures. These AI endeavors are procuring vast amounts of memory to power their expansive data centers.

Impact on the Smartphone Industry

The financial burden of this memory scarcity is anticipated to fall heavily on budget smartphone makers such as Xiaomi, Oppo, Vivo, Honor, and Huawei. Given their limited ability to substitute parts and keep prices low, these brands may have no choice but to pass these increased RAM costs onto consumers.

Conversely, tech giants like Samsung and Apple might weather the storm with greater ease, thanks to their capability to secure memory supplies well in advance. Despite this, even the newest high-end phones like the iPhone 17 Pro and Samsung Galaxy S25 Ultra are likely to stick with a 12GB RAM maximum.

Rising Prices in the PC Sector

The personal computer industry is facing what the IDC describes as a 'perfect storm,' coinciding with the end of Windows 10 support and the rise of AI-optimized PCs. Several manufacturers have already acknowledged upcoming price hikes.

Specifically, devices requiring substantial RAM, such as Microsoft's Copilot Plus PCs, are in a precarious position. These machines typically come with at least 16GB of RAM, making it challenging to manage costs without either increasing prices or trimming RAM capacity.

Future Outlook on Device Pricing

In a scenario considered moderate by the IDC, average smartphone prices might rise by 3 to 5 percent, whereas a more pessimistic forecast would see increases between 6 and 8 percent. Similarly, personal computers could experience price hikes of 4 to 6 percent or rise to 6 to 8 percent under less favorable conditions.

All in all, these developments suggest consumers should brace themselves for an increase in the price tags of their favorite tech devices as the memory shortage continues to exert pressure across the industry.