Tom Gerkentechnology reporter
getty imagesThe cost of many of the devices we use could rise in 2026 as the price of RAM – once one of the cheapest computer components – is set to more than double by October 2025.
The technology powers things from smartphones to smart TVs, as well as medical devices.
Its price has increased due to the explosive growth in data centers powering AI, which also need RAM.
This has created an imbalance between supply and demand which means everyone has to pay more.
Manufacturers often prefer to absorb small cost increases, but the larger costs are passed on to consumers.
And this increase is anything but modest.
“We’re being quoted costs about 500% higher than a few months ago,” said Steve Mason, general manager of computer maker CyberPowerPC.
He said “there will come a point” where these increased component costs will “force” manufacturers to “make decisions about pricing.”
“If it uses memory, or storage, the price is likely to go up,” he said.
“Manufacturers will have options to choose from, consumers will too.”
RAM – or random access memory – is used to store code when you use a device. It is a vital component of almost every type of computer.
For example, without it it would be impossible for you to read this article.
And with the component so ubiquitous, Danny Williams of rival computer manufacturing site PCSpecialist said he expects prices to continue rising “through 2026.”
“The market has been very bullish in 2025 and unless memory prices come down a bit, I expect consumer demand to remain subdued in 2026,” he said.
He said he has seen “diverse effects” across different RAM manufacturers.
“Some sellers have larger inventory and hence their price increases are more subtle, perhaps 1.5x to 2x,” he said.
But he said other companies don’t have large amounts of stock – and have raised prices “up to 5 times”.
Prices are rising because of AI
Chris Miller, author of Chip Wars, called AI the “main factor” driving demand for computer memory.
“There is an increase in demand for memory chips, driven primarily by the high-end high bandwidth memory required for AI,” he said.
“This has caused prices for various types of memory chips to rise.”
He said prices “often fluctuate dramatically” based on “demand and supply” – and demand is high right now.
And Mike Howard of Tech Insights told the BBC that it is up to cloud service providers to finalize their memory requirements for 2026 and 2027.
He said this gave RAM makers a clear picture of demand – and it was “unmistakeable” that supply “will not meet the levels that Amazon, Google and other hyperscalers are planning for”.
“With both demand clarity and supply constraints coming together, suppliers have consistently raised prices, in some cases aggressively,” he said.
“Some suppliers have also stopped issuing price quotes, a rare move that signals confidence that prices will rise further in the future.”
He said some manufacturers may have seen it coming and built up their inventory ahead of time to help cushion the price increase — but he called those companies “outliers.”
“In a PC, memory typically accounts for 15 to 20 percent of the total cost, but current pricing has pushed it to 30 to 40 percent,” he said.
“Margins in most consumer categories are not deep enough to absorb these increases.”
The bottom line for 2026
With prices moving upward, customers will likely have to decide whether to pay more or accept a less powerful device.
“Much of the market information we have received suggests that pricing and supply will be a challenge around the world from 2026 to 2027,” Mr Mason said.
And some big companies have turned their noses up completely at the consumer market.
Micron, previously one of the largest sellers of RAM, announced in December that it would discontinue sales of its Crucial brand to focus on AI demand.
“It removes one of the biggest players from the market,” Mr Mason said.
“On the one hand, it’s less choice for consumers – on the other hand, if their entire production is invested in AI, it should free up the ability for others to make more for consumers, so that balances out.”
Mr Howard said the manufacturing cost of a typical laptop with 16GB of RAM could rise to $40 to $50 (£30 to £37) in 2026 – and this would “likely be passed on to consumers”.
“There will also be pressure on smartphone prices,” he said.
“A typical smartphone could see an increase of $30 in manufacturing costs, which will again be passed on directly to the consumer.”
And Mr Williams said increased prices could also have another consequence.
He said, “Computers are a commodity – an everyday object that people need in the modern world.”
“As memory prices rise, consumers will have to decide either to pay higher prices for the performance they need, or accept compromises in a lower performance device.”
Of course, there is another option, Mr. Williams says — consumers “may have to make do with the old technology for a while.”


