AI Boom Keeps Memory Prices High as RAM Shortage Expected to Last Until 2028

The global memory shortage continues to push up the prices of PCs, laptops, smartphones, SSDs, flash drives, and other electronics, with Samsung warning that the supply crunch is unlikely to ease before 2028.

According to Kim Jaejune, Executive Vice President of Samsung’s Memory Division, strong demand from AI infrastructure is expected to keep memory supplies tight through 2026, 2027, and potentially well into 2028, leaving consumers facing elevated hardware prices for years to come.

AI Demand Continues to Outpace Supply

Samsung says the rapid expansion of AI data centers remains the primary driver behind the shortage.

Modern AI systems require enormous amounts of:

• High-performance DRAM
• High-bandwidth memory (HBM)
• GPUs equipped with large memory capacities

Demand has significantly exceeded available production throughout 2026, with many customer orders expected to roll over into 2027, further tightening supply.

As a result, Samsung believes memory prices are likely to remain high—or rise even further—over the coming years.

Why Memory Production Can’t Expand Quickly

The shortage isn’t simply a matter of producing more chips.

Samsung notes that many major technology companies secure memory supplies through multi-year contracts, leaving little production capacity available for new customers until those agreements expire.

At the same time, memory manufacturers have increasingly prioritized enterprise customers, particularly AI infrastructure providers, where profit margins are considerably higher than in the consumer PC market.

Adding new production capacity is also a slow process. Building semiconductor fabrication plants requires billions of dollars in investment and several years before new facilities become operational.

Industry-Wide Warning

Samsung isn’t alone in its outlook.

Other major memory manufacturers—including SK Hynix, Micron, and ADATA—have also warned that supply conditions are expected to tighten further during 2027 before eventually improving.

Industry analysts likewise expect elevated memory prices to persist until supply can catch up with AI-driven demand.

Consumer Electronics Will Remain Expensive

The prolonged shortage continues to affect virtually every device that relies on memory chips, including:

• Desktop PCs
• Laptops
• Smartphones
• Tablets
• SSDs
• USB flash drives
• Wi-Fi routers
• Gaming devices

Manufacturers have already raised prices across many product categories, and additional increases remain possible if supply constraints worsen.

Smaller Manufacturers Face Growing Pressure

Samsung also highlighted the challenges facing smaller memory suppliers.

RAM production requires enormous capital investment, long-term planning, and advanced manufacturing capabilities. As costs continue rising and competition intensifies, smaller manufacturers may struggle to remain competitive against industry leaders.

Unless production capacity expands significantly over the next several years, AI’s rapidly growing appetite for memory is expected to remain the dominant force shaping global semiconductor pricing through at least 2028.