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AI Boom Diverts RAM to Data Centers, Pressuring 2026 Phone and PC Prices

Analysts now see memory costs jumping roughly 40% by midyear, pressuring vendors to raise device prices.

Overview

  • IDC reports RAM production is being redirected to AI data centers, tightening availability for smartphones and PCs.
  • DRAM supply growth in 2026 is projected at 16% year over year, below historical norms, which adds cost pressure for device makers.
  • Counterpoint forecasts memory prices rising about 40% through the second quarter of 2026 and expects global smartphone shipments to fall 2.1%.
  • Counterpoint also projects average smartphone selling prices to climb roughly 6.9%, with lower-end models facing the sharpest increases as premium brands better absorb costs.
  • Samsung Electronics and SK hynix, which dominate DRAM supply, have indicated much of their 2026 output is already allocated, signaling continued tightness.