IDC researched the effect of high memory prices on the smartphone and PC market.
The semiconductor sector is facing an unprecedented memory shortage at the end of 2025, resulting in rising prices and lower volumes for smartphones and PCs. According to IDC, the shortage is not temporary, but the beginning of a permanent shift towards AI infrastructure.
IDC: ‘Memory shortage due to AI data centers’
The cause lies in the explosive growth of AI data centers. Major memory manufacturers such as Samsung, SK Hynix and Micron are shifting their production capacity from consumer memory to other solutions such as high-bandwidth memory (HBM) and DDR5 for hyperscalers. Therefore, less DRAM and NAND is available for smartphones and PCs to be under pressure.
Android manufacturers with low margins in particular are feeling the impact. Memory accounts for up to 20 percent of the cost of a smartphone, making price increases or lower specifications inevitable. IDC warns that the smartphone market could shrink by up to 5.2 percent in 2026, while the average selling price could rise by six to eight percent. Apple and Samsung are better protected thanks to long-term contracts, but RAM upgrades also remain limited there.
PC market under extra pressure
The PC market is also sharing in the pain, at a time when manufacturers are focusing on AI PCs with a minimum of 16 GB of RAM. IDC sees a possible sales decline of up to 8.9 percent for 2026, with price increases of up to eight percent. Large manufacturers would benefit from this, while smaller players would lose ground.
IDC expects the memory shortage to last until at least 2027, putting an end to years of cheap storage and memory.