AI memory shortage drives price hikes, PC decline, and record chip investments

A global memory chip shortage, fueled by the AI data center boom, is causing widespread price increases on consumer electronics and the first decline in PC shipments in two years, while memory makers announce record investments.

Consumer electronics price hikes

Major tech companies have raised prices on laptops, game consoles, and tablets. Apple increased MacBook and iPad prices by 15–25%, with a MacBook now starting at $1,999 Source: AP. Microsoft plans an Xbox price hike in August, and Nintendo raised the Switch 2 price by 11% Source: CNN. The shortage has caused memory chip costs to soar—JPMorgan estimates some chips are up 400% Source: AP. As a result, global PC shipments fell 3.6% in Q2 2026, according to Omdia, while IDC reported a 4.9% drop Source: The Next Web, Engadget.

Memory makers ramp up investment

In response to surging demand, Micron announced a $250 billion U.S. investment through 2035, including a new New York facility expected to create 50,000 jobs Source: Fox Business, CNA. Nanya Technology plans to quadruple capital spending to $6.2 billion in 2027, aiming to double production capacity Source: Tom's Hardware, The Next Web. The boom has shifted investor focus from GPU makers like Nvidia to memory companies—Micron's stock has nearly tripled, while Nvidia's has fallen 15% from its peak Source: TechCrunch.

• Profit surge: Nanya's Q2 revenue rose 684% year-over-year, with gross margins hitting 79.5% Source: Tom's Hardware.
• Supply constraints: The shortage is expected to persist through at least 2027, as new fabs take years to come online Source: CNN, Tom's Hardware.
• Market impact: Low-end smartphones are hit hardest, with shipments under $400 expected to fall 22% this year Source: The Next Web.