Gadget prices have fallen for decades. Then AI happened.

TL;DR

The artificial intelligence boom is causing a global shortage of memory and storage chips.
This shortage is driving up prices for consumer electronics like computers, video game consoles, iPads, and MacBooks.
Companies like Apple and Microsoft are increasing prices to offset rising component costs.
The cost of personal electronics has generally fallen since the 1980s, making these price hikes unusual.
Chip manufacturers are prioritizing production for AI data centers over consumer devices.
Expanding chip production capacity is a slow and expensive process, with new facilities costing billions and taking years to build.
The chip shortage is predicted to last at least through 2027.
Consumers are advised to buy electronic devices now before prices rise further.

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