‘RAMageddon’: is the era of cheap phones and laptops over?
Summary
The cost of laptops, phones, and game consoles is rising due to a shortage of memory chips. This shortage is caused by increased demand for high-end chips used in artificial intelligence (AI) and large data centers, which reduce the supply available for consumer electronics.Key Facts
- Major tech companies like Microsoft, Samsung, and Dell have raised prices and reduced cheaper models.
- The shortage is called "RAMageddon" and is caused by high demand for memory chips in AI data centers.
- Memory chips (RAM) are critical for most electronic devices, affecting laptops, phones, and graphics cards.
- Prices for mid-range laptops could rise by up to 40% by 2026 because of the chip shortage.
- Some manufacturers prioritize making high-end chips over cheaper ones due to higher profits.
- Budget devices face the biggest price increases because memory costs make up a large part of their total price.
- Some companies have increased the starting prices of their products, for example, Apple raised the MacBook Air price by £100.
- Gaming consoles like the PS5 and Xbox have also become more expensive due to chip shortages.
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