TAIPEI, Taiwan — Consumer electronics makers from smartphone brands to PC vendors are raising prices and rewriting supply plans for 2026 devices as memory chip prices climb across global supply chains. The squeeze is being driven by the rapid buildout of AI data centers that is soaking up DRAM and NAND capacity, forcing gadget makers to choose between thinner margins and higher sticker prices, Jan. 22, 2026.
Why memory chip prices are rising again
Supply is tightening just as cloud computing giants lock in more memory for AI servers. Market researcher TrendForce’s first-quarter 2026 pricing forecast projected conventional DRAM contract prices rising 55 percent to 60 percent from the prior quarter, with NAND flash up 33 percent to 38 percent, as suppliers steer advanced production toward high-bandwidth memory (HBM) and other data-center components.
Even for consumer-focused chips, that shift changes negotiating leverage. Device brands that once counted on steady contract supply are now competing with data-center demand, and some are paying more to avoid production delays. The result is a broad rise in memory chip prices that can hit everything from low-cost phones to midrange gaming laptops.
How higher memory chip prices hit 2026 devices
The cost math is already changing. Research firms cited in Reuters reporting on the consumer electronics outlook expect demand to cool as memory chip prices rise: global smartphone shipments are seen shrinking at least 2 percent in 2026, the PC market falling at least 4.9 percent, and console sales sliding 4.4 percent. “Manufacturers might absorb some costs but given the scale of the shortage, it is certainly going to show up as higher prices for consumers,” eMarketer analyst Jacob Bourne said.
Phones: Raise the entry price, or keep the headline price and reduce RAM or storage on cheaper configurations.
PCs: Absorb some costs, or lift prices on popular builds where DRAM and SSDs are a larger share of the bill of materials.
Consoles: Protect list prices where possible, but shift pressure into bundles, promotions and availability.
Smartphone makers are already signaling strain. Xiaomi President Lu Weibing warned that costs were “far beyond expectations” as the company rolled out its Redmi K90 lineup, writing that “rising costs of memory chips are far beyond expectations and could intensify.”
Notebook supply chains are feeling a similar squeeze. In a Reuters report on Compal’s outlook, Chief Executive Officer Anthony Peter Bonadero called the current environment “a true super cycle (in memory chips) that we haven’t really seen,” and said memory typically accounts for about 15 percent to 18 percent of a PC’s materials cost — but could climb to as much as 35 percent to 40 percent if elevated memory chip prices persist.
A familiar cycle, with a new AI twist in memory chip prices
Veterans of the sector note that memory chip prices have spiked before — and then reversed when new supply arrived and inventories caught up. In 2017, Reuters’ “ultra-super-cycle” report described gadget makers scrambling for supply after benchmark chip prices rose sharply. In 2021, Reuters also reported on SK Hynix warning of potential shortages as data-center investment and 5G adoption strained supply.
What is different in 2026 is the scale and persistence of AI investment, which is pulling manufacturing attention toward server and HBM products. Until more capacity comes online or demand cools, memory chip prices are likely to remain a swing factor in how much RAM and storage come standard — and how much consumers pay to upgrade.
