Memory prices continue to rise, will the shortage last for years? The prices of numerous gadgets also jump

Artificial intelligence takes priority

The main cause of the current crisis is the huge demand for high-performance memory (HBM), which is a key component for AI data centers and accelerators used by technology giants such as Nvidia, AMD and Google. In order to meet the needs of the AI ​​sector, the world’s three largest memory manufacturers – Samsung, SK Hynix and Micron – have redirected their production capacities. This has led to a reduced supply of standard DRAM memory used in personal computers, smartphones and other consumer electronics.

Production cannot keep up with demand

Although suppliers are increasing production, it is expected that they will be able to meet only 60 percent of total demand by the end of 2027, according to Nikkei Asia. The president of SK Grupa even stated that the shortage could last until 2030. In order to meet demand, production should increase by 12 percent annually in 2026 and 2027. However, according to Counterpoint Research, growth of only 7.5 percent is planned.

The largest manufacturers are working on building new factories, but almost none will be in full operation before 2027 or 2028. The only significant increase in capacity in 2026 is SK Hynix’s new factory in Cheongju, opened in February.

Prices are skyrocketing, consumption is skyrocketing

Due to the imbalance of supply and demand, prices have risen dramatically. For example, the price for a package of 32 GB of DDR5 memory, which at the end of 2025 ranged between 80 and 120 dollars, now reaches between 300 and 500 dollars. Some analysts predict that prices in the first quarter of 2026 could rise by an additional 55 to 60 percent.

This price shock affects a wide range of devices. Everything from smartphones and laptops to VR sets and portable gaming consoles have seen price increases due to RAM shortages. There is also a possibility that more smartphone manufacturers will start reducing the amount of built-in memory, so models with 16 GB could become rarer, while devices with only four gigabytes of RAM could appear on the market again.