If you’ve been hearing buzz about a RAM shortage and wondering how something as basic as memory suddenly became a global problem, you’re not imagining things. Over the past year, analysts, chipmakers, and major PC brands have been warning that DRAM supply is tightening. This RAM shortage is shaping up to be one of the biggest tech supply challenges heading into 2026.
Here’s what’s actually happening and how it will affect consumers.
Why There’s a RAM Shortage in the First Place
1. AI Is Consuming Memory at a Massive Scale
The biggest driver of the RAM shortage is the explosive demand coming from artificial intelligence. Whenever you use an AI chatbot and send a prompt, the model processes it on large clusters of GPUs inside massive data centers. A typical AI server uses around eight GPUs, and each of those GPUs carries anywhere from 40 GB to 192 GB of high-bandwidth memory such as HBM.
An AI server like NVIDIA’s DGX H100 typically deploys eight H100 GPUs, with a combined 640 GB of HBM3 memory and 2 TB of system DRAM to support large neural networks. Each H100 GPU contains about 80 GB of high-bandwidth DRAM (HBM3), and similar AI servers built on the previous A100 generation also use up to 640 GB of GPU memory along with multiple terabytes of system DRAM.
On top of that, the server itself usually includes 512 GB to 2 TB of traditional DRAM. In other words, a single AI server can contain well over a terabyte of memory. Now imagine tens of thousands of these servers being deployed by companies like OpenAI, Google, and Meta – and you begin to see why AI has become one of the biggest drivers of the ongoing RAM shortage.
According to TrendForce’s 2025 DRAM Market Outlook, demand for high-bandwidth memory (HBM), used in AI training, grew more than 200 percent year over year.
Because HBM brings in higher profits, companies like Samsung, SK Hynix, and Micron are using more of their factories to produce it instead of regular DRAM. As Tom’s Hardware notes, HBM consumes around three times the wafer capacity of DDR5 per gigabyte. Since chip-making capacity is limited, this leaves less room for making the standard RAM used in laptops, phones, and desktops, which makes the global RAM shortage even worse.
2. Manufacturers Have Cut Commodity DRAM Output
Micron confirmed in its FY2025 earnings call that it has reduced production of traditional DRAM to focus on high-margin AI memory. Separate supply-chain reporting notes Samsung plans to significantly expand production of high-bandwidth memory (HBM) to meet rising AI demand, which implies shifting resources toward advanced memory lines.
These strategic moves amplify the RAM shortage across consumer markets.
3. Supply Chain Constraints
“Instead of expanding conventional DRAM and NAND used in smartphones, PCs, and other consumer electronics, major memory makers have shifted production toward memory used in AI data centers, such as high-bandwidth (HBM) and high-capacity DDR5,” read an IDC report on the shortage.
“With low inventory levels across buyers and sellers and sustained server demand, suppliers maintain a firm pricing stance. Contract prices are expected to rise further as the market focus shifts towards long-term capacity expansion plans,” concluded a DRAM report from TrendForce.
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Why RAM Prices Are Rising
Consumer RAM Pricing Is Increasing
Conventional DRAM prices are expected to rise by 8-13% on quarter in 4Q 2025 and when HBM is included, the increase could widen to 13-18%, according to TrendForce (via EE Times Asia). These increases directly reflect the pressure from the ongoing RAM shortage.
PC Makers Are Warning About Higher Costs
IDC indicates that OEMs expect overall PC costs to climb 6-8 percent in the worst case scenario because of memory constraints. Companies such as HP, Lenovo, and Dell have already begun warning partners about adjusted configurations and price increases caused by the RAM shortage.
An exclusive report from TrendForce suggested that Dell is also reportedly preparing to raise prices, with industry sources indicating that the company has issued a price-hike alert to customers. The increase is expected to be in the range of 15-20%.
Lenovo, meanwhile, has warned customers that all existing quotations and prices will expire on January 1, 2026. In a notice seen by industry sources, the company cited two main reasons for the upcoming price changes: a worsening global memory shortage and the accelerating adoption of AI technologies.
Lenovo noted that rising memory costs driven by supply chain constraints are pushing up overall hardware prices. At the same time, strong enterprise demand for AI-ready, high-performance systems is further tightening supply. The company has advised customers to place orders soon to lock in current pricing and avoid potential increases once the new rates take effect.
How the RAM Shortage Will Affect Consumers
1. Lower RAM Configurations (and other inferior specifications) in New Devices
Counterpoint Research suggests mid-range smartphones may shift from 12GB RAM to lower tiers like 8GB or even 6GB to keep prices stable. As a result, many upcoming devices may silently ship with reduced memory due to the RAM shortage. According to Counterpoint Research’s latest Memory Solutions for GenAI report, memory prices could rise by another 40% through Q2 2026, pushing bill-of-materials (BoM) costs 8% to over 15% higher than current elevated levels. The continued surge in memory pricing is expected to put further pressure on smartphone pricing and product strategies across the industry.
“In the lower price bands, steep price increases on smartphones are not sustainable,” said Counterpoint Senior Analyst Yang Wang. He added that when costs cannot be passed on to consumers, OEMs are forced to trim their portfolios-something already visible in the form of significantly reduced volumes of low-end models.
The firms best positioned to handle supply constraints are those with scale, strong high-end portfolios and tight vertical integration. “Apple and Samsung are best positioned to weather the next few quarters,” Wang noted, adding that other manufacturers may struggle to balance market share and profit margins. This pressure is expected to be felt most acutely among Chinese smartphone brands as the year progresses.
To manage rising costs, OEMs are increasingly deploying mitigation strategies. According to Senior Analyst Shenghao Bai, some models are already seeing component downgrades, including camera modules, periscope lenses, displays, audio components and memory configurations. Other approaches include reusing older components, streamlining product lineups and steering consumers toward higher-spec ‘Pro’ variants through new designs and feature differentiation.
2. Higher Prices for Laptops and Smartphones
IDC’s PC Pricing Outlook estimates laptop and desktop prices may rise 5-8 percent. As a result of cost pass-through and portfolio restructuring, Counterpoint expects smartphone average selling prices (ASPs) to rise by 6.9% next year, up from its earlier forecast of 3.9% issued in September 2025. Both forecasts tie these rises directly to DRAM cost inflation caused by the RAM shortage.
3. DIY PC Builders Will Face the Biggest Impact
PC enthusiasts upgrading or building new systems will feel the effects first:
- DDR5 kit prices have risen 25-40 percent
- High-speed kits are harder to find
- Large-capacity kits fluctuate weekly
TrendForce expects these fluctuations to continue as long as the RAM shortage persists.
4. Potential Launch Delays for New Devices
IDC’s supply chain bulletins indicate some laptop manufacturers have adjusted production timelines due to limited DRAM availability. This means consumers may see delayed launches, another ripple effect of the RAM shortage.
When Will the RAM Shortage Improve?
Unfortunately, the RAM shortage is not a short-lived issue. Micron estimates that meaningful improvement will not occur until 2026-2027 when new manufacturing facilities come online. Samsung has shared similar timelines for its upcoming memory fabs. TrendForce also expects extremely high HBM demand to continue through at least 2027, which will keep pressure on consumer DRAM supply.
In short, the RAM shortage is a multi-year supply imbalance driven by the priorities of the AI industry, not a temporary disruption.
Final Thoughts
The ongoing RAM shortage marks one of the most significant supply challenges in recent tech history. AI is consuming enormous amounts of memory, and manufacturers are prioritizing high-margin AI chips over standard consumer DRAM. For consumers, this means:
- Higher prices for new laptops and smartphones
- Lower RAM configurations in upcoming devices
- Higher upgrade costs for desktop builders
- Occasional device shortages or delays
If you plan to buy or upgrade a device soon, especially one requiring higher RAM, it may be wise to do so before prices rise further due to the ongoing RAM shortage.
Author: Abhishek Malhotra
Source: The Mobile Indian
Reviewed By: Editorial Team
