tech
‘RAMageddon’: is the era of cheap phones and laptops over?
Bargains are disappearing and the cost of gadgets such as MacBooks and PS5s is rising as AI competes for memory chips
TL;DR
- The cost of electronics like laptops, phones, and games consoles is rising due to a shortage of memory chips.
- This shortage, dubbed 'RAMageddon,' is caused by the high demand for AI and the expansion of datacenters.
- Manufacturers are increasing prices and phasing out cheaper models, with the sub-$500 entry-level PC segment predicted to disappear by 2028.
- The supply of flash storage chips and lower-end processors has also been constrained as manufacturers prioritize higher-margin AI-related components.
- Companies like Apple, Microsoft, Dell, Sony, and Samsung have already increased prices for their products.
- The shortage is expected to continue for several years, with new manufacturing capacity not expected to be fully operational until at least 2027 or even 2030.
- Consumers are advised to buy sooner rather than later, consider older or refurbished models, or explore repair options.