Archive · 30 Dec 2025
AI Demand May Raise Prices for Budget Devices in 2026
Big companies like Google and Nvidia are building huge computers for AI, which need lots of memory.
This is making memory harder to find and more expensive.
Because of this, the price of cheaper smartphones, computers, and storage devices might go up in 2026.
A few companies control most of the memory market, and they're focusing on making the most profitable kind, which makes the problem worse.
Some companies are trying to find ways to keep prices low, but it might be hard.
This could make people hold on to their old devices longer, which might slow down sales of new ones.
AI companies' demand for memory is causing a global shortage, leading to potential price hikes for budget and mid-tier devices in 2026.
Three companies (Samsung, SK Hynix, Micron) control 93% of the global DRAM market, prioritizing high-bandwidth memory (HBM) for AI applications.
Budget and mid-tier devices may be most affected, as they operate on thin margins and cannot easily absorb cost increases.
Some manufacturers are warning of price increases, while others are trying to mitigate costs through smarter engineering and supplier partnerships.
The memory shortage coincides with the Windows 10 end-of-life refresh cycle and AI PC marketing push, potentially derailing industry growth narratives.
- Who
- Major AI companies, device manufacturers, and consumers
- What
- Increased demand for memory due to AI development, leading to potential price hikes for budget and mid-tier devices
- When
- Projected to impact prices in 2026, with effects lasting into 2027
- Where
- Global market, with specific mentions of Japanese PC stores and Chinese smartphone makers
- Why
- AI companies are building massive data centers, increasing demand for memory components, which are also crucial for smartphones, PCs, and other devices
- Primary Category
- TECHNOLOGY
- Secondary Category
- AI
- Tertiary Category
- Memory
- Quaternary Category
- Supply
- Key Companies
- Google, OpenAI, Nvidia, Amazon, Microsoft, Samsung, SK Hynix, Micron
- Market Impact
- Budget and mid-tier devices may see price hikes
- Market Share Leaders
- Samsung (33%), SK Hynix (34%), Micron (26%)
- Projected Impact Duration
- 2026-2027
Sources
AI memory crunch may raise budget smartphone and PC prices worldwide in 2026 sales
After a year of blistering growth, AI chip makers get ready for bigger 2026
Samsung Galaxy S26 Series price in India likely to increase: Report
Centre Releases Guide To Make AI Tools Accessible To All In India
