The global RAM shortage threatens to lead to product discontinuations and bankruptcies in 2026.
According to Phison CEO Pua Khein-Seng, one of the three largest developers of chips for SSDs and other flash memory devices, the RAM shortage could lead to the discontinuation of product lines and even corporate bankruptcies.
Small businesses are the victims
In an interview with Taiwanese broadcaster Next TV, Khein-Seng confirms that companies may have to adjust their product offerings if they cannot secure enough RAM. According to him, smaller players in particular will be vulnerable as supply comes under further pressure.
The statements follow months of rising memory prices. AI data centers are consuming an ever-increasing share of global DRAM production, creating a structural imbalance between supply and demand. RAM prices have doubled several times in a short period.
AI swallows up capacity
The market is highly concentrated: three producers control more than 90 percent of global DRAM production, reports The Verge. Although they are investing in new factories, they remain cautious to avoid overproduction and subsequent price drops.
This could have consequences for the entire technology sector. Even major players like Nvidia and Apple could struggle to secure enough memory components. Khein-Seng also expects consumers to have defective devices repaired more often instead of replacing them, as new hardware becomes more expensive and scarce.