Memory Chip Crunch Threatens Price Hikes Across Tech Sector
The global AI infrastructure boom is creating semiconductor shortages that could Ripple through consumer electronics markets. Memory chip prices are projected to surge 30% in Q4 2024, with an additional 20% increase expected by early 2026, according to Counterpoint Research.
Supply chain bottlenecks now affect multiple components including hard disk drives, solid-state storage, and memory chips. Industry leaders warn these constraints may persist for 2-3 years, with AI data center demand diverting production capacity from smartphone and laptop components.
"We see the rapid increase in demand for AI in data centers driving bottlenecks in many areas," said Peter Hanbury of Bain & Company. Alibaba's Eddie Wu described the situation as "a relatively large bottleneck" affecting semiconductor producers across the board.
