What’s going on with RAM? — Everything you need to know about surging prices, AI demand, and global tech market disruption

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If you’re not up-to-date on tech news, there’s a new problem that could soon make phones, computers, and other devices more expensive.

I’m referring to DRAM, a type of computer memory that’s currently hard to find and very expensive. This is largely because of the huge investment in artificial intelligence and the massive data centers needed to power it.

Right now, the price increases for RAM are mostly affecting everyday consumers, but experts predict this will change by 2026. More industries will start feeling the impact of the limited RAM supply. Here’s a breakdown of what’s happening and why.

How did RAM prices get so high?

To explain why RAM prices have increased so much, let’s start with some background information about the market.

The market for RAM is dominated by three companies: SK hynix, Samsung, and Micron. They manufacture most of the DRAM chips used globally, and this has been the case for many years.

As an analyst, I’ve been watching the RAM market for quite some time, and for years it was remarkably steady. There was enough supply to meet demand, and the three major manufacturers managed to maintain fairly stable pricing.

Companies making products like laptops, phones, TVs, and tablets, which all rely on DRAM, could purchase large quantities at low prices, meaning everyday computer builders weren’t facing inflated costs.

The rise of artificial intelligence quickly led to a surge in demand for DRAM, the type of memory used in data centers. Companies invested heavily to secure enough DRAM, and the three biggest manufacturers shifted their focus to meet this demand. This caused a widespread shortage for other industries and users.

Large AI companies require massive amounts of fast memory to power their AI models. While AI data centers currently depend on High Bandwidth Memory (HBM), it’s essentially an advanced type of DRAM – the same technology used in the RAM inside most computers.

The DRAM shortage is now extremely severe. Manufacturers prioritize supplying AI companies because they offer the highest profits, leaving consumers with very limited access to available chips.

DDR5 RAM, once available for around a couple of hundred dollars, is now frequently nearing a thousand dollars, making it a more significant purchase consideration than even a graphics card.

This new understanding is leading to rushed purchases and empty shelves, which is making the problem even bigger. To add to this, Micron, a leading maker of computer memory, has stopped selling to everyday consumers.

Micron exits the consumer RAM market

The DRAM shortage was already a significant problem, but it’s gotten much worse now that Micron has decided to stop making Crucial memory and storage products.

I just read that Micron is planning to stop selling Crucial memory and SSDs directly to consumers after February 2026! That’s a big deal because it basically means Samsung and SK Hynix will be the only major players left providing this stuff directly to us. It’s a little worrying, honestly, to see one of the big names stepping back like this.

The increasing use of artificial intelligence is driving up demand for data center resources, especially memory and storage. To better serve our biggest customers and focus on faster-growing areas of the market, Micron has decided to stop selling products under the Crucial brand for everyday consumers.

Sumit Sadana, EVP & Chief Business Officer at Micron

Micron’s recent announcement expresses gratitude to customers who’ve purchased Crucial products, but it strongly implies they’re now prioritizing more profitable business and aren’t concerned with the impact on regular consumers.

It looks like Samsung and SK hynix might be heading down similar paths. Samsung has recently announced it will focus more on making DDR5 memory and less on HBM, a move designed to boost profits, according to DigiTimes.

It’s understandable why we’re doing this – DDR5 RAM is still quite expensive for most people, and prices fluctuate constantly. Ignoring a chance to profit when we can would be irresponsible to our investors.

From my analysis, SK hynix is planning a major increase in DRAM production starting in 2026, according to reports. However, I don’t see this as broadly impactful. The vast majority of this increased supply will be dedicated to supporting the growth of artificial intelligence, so it likely won’t significantly affect other areas of the market.

Will all tech be impacted by the DRAM shortage?

I’ve been primarily discussing how the DRAM shortage is affecting PC building, because that’s where we’ve seen the biggest price jumps. Both Maingear and CyberPowerPC, companies that build custom PCs, have announced that prices are increasing because of high demand for DRAM, meaning pre-built computers will likely cost more soon.

However, it’s not the only market that’s being (or will soon be) impacted.

As a tech fan, I’m seeing DRAM – that’s the type of memory used in pretty much *everything* these days – becoming a real pain point. It’s not just PC builders who are affected, either. The companies making our laptops, phones, TVs, even our cars and cameras, are starting to feel the impact of limited DRAM supply and rising costs. It’s a widespread issue!

As a researcher tracking the PC market, I’ve been following some concerning pricing trends. TrendForce reports that Dell intends to increase PC prices by at least 15-20% potentially as soon as mid-December 2025. Lenovo has also alerted customers that their current price quotes won’t be valid after January 1, 2026, implying price increases are coming. And HP’s CEO, Enrique Lores, has indicated that if DRAM supply doesn’t improve, we could see PC prices rise in the latter half of 2026.

To make matters worse, another shortage is on the way. Production of NAND flash chips – essential components in today’s SSDs – is also being limited.

According to TrendForce, demand for NAND Flash memory chips jumped as much as 60% in November 2025, primarily due to growing demand from artificial intelligence and strong orders for solid-state drives used in businesses. This focus on supplying these sectors means fewer chips are available for other consumer products.

When will the RAM crisis end?

Let me start by saying I don’t know when the problems with RAM (and soon, SSDs) will be over. Some experts actually believe we’re only at the beginning of this shortage.

According to Team Group’s general manager, Gerry Chen, DRAM prices jumped by 80% to 100% in December, and he expects prices to keep rising for several years. He told TechPowerUp that the situation will likely get even worse in early 2026 as existing, lower-priced stock is depleted.

If the current surge in demand for powerful memory chips driven by artificial intelligence continues, we’ll need to build new manufacturing facilities. However, these plants are incredibly expensive – costing billions of dollars – and take a long time to become operational.

Micron, which recently stopped selling memory directly to consumers, is currently the only major manufacturer publicly planning to build a new DRAM chip factory in the near future (according to PCGamer). They’re investing $10 billion in a new facility in Japan, but it won’t start producing chips until the latter part of 2028.

Another possible solution is a slowdown in the current excitement around AI. If the AI boom levels off, the rapid construction of AI data centers would likely stop, resulting in too much available DRAM and NAND memory.

If the current excitement around artificial intelligence were to die down, it would definitely cause big problems for global markets. However, one small benefit would be that the price of DDR5 computer memory would likely become more affordable again.

RAM crisis: FAQ

What is the difference between RAM and DRAM?

Random Access Memory, or RAM, is often used as a general term to describe the memory found in devices like computers, laptops, and tablets.

Dynamic RAM, or DRAM, is a type of computer memory that stores information using tiny electrical components. Because it gradually loses the data, it needs to be constantly updated. DRAM is good at holding a lot of temporary information and was, until recently, a cost-effective solution, making it common in devices like computers and smartphones.

AI development also heavily relies on DRAM, specifically the fast DDR5 and HBM types of memory needed to run AI models.

What is HBM?

As a tech enthusiast, I’m really impressed with High Bandwidth Memory, or HBM. It’s a special kind of computer memory that stacks chips on top of each other, which is a clever way to massively speed things up and use less power. From what I understand, it’s becoming super important for building the powerful data centers that run all the new AI technologies.

What is NAND?

NAND flash memory is commonly found in devices like solid-state drives, SD cards, and USB drives. It can store information even when turned off, and it’s known for offering a large amount of storage in a small physical size.

AI data centers need massive amounts of storage in addition to fast RAM. This is causing concern that the price of storage for regular computers might go up soon.

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2025-12-09 18:42