One of the world’s largest memory manufacturers is warning that consumers and hardware makers are heading into a prolonged shortage of computer memory as artificial intelligence continues to dominate global chip production. Micron Technology says tight supplies of RAM and flash memory are expected to persist through at least 2026, driven largely by surging demand from AI data centers.
According to The Verge, Micron Technology delivered a stark outlook in its latest earnings report. CEO Sanjay Mehrotra said industry conditions across DRAM and NAND flash memory remain constrained and are unlikely to ease anytime soon. The company expects AI-driven demand to continue crowding out consumer-focused memory production.
Micron reported record quarterly revenue of $13.64 billion, up sharply from $8.71 billion during the same period last year. The growth is fueled by massive orders from major technology firms building AI infrastructure, including data centers supporting advanced machine-learning models. These facilities rely heavily on high-bandwidth memory, or HBM, which is far more resource-intensive to manufacture than traditional consumer RAM.
HBM requires roughly three times the silicon wafer capacity of standard DRAM, forcing Micron to prioritize its most profitable enterprise contracts. As a result, the company has scaled back resources devoted to its consumer-facing brand, Crucial, which produces RAM for PCs, gaming systems, smartphones, and other everyday electronics. That shift has already begun to ripple through the market.
Prices for DDR5 memory kits have climbed rapidly in recent months, with consumers and system builders reporting sharp increases even during major retail sales periods. Analysts warn that PCs, video game consoles, and even vehicles that rely on advanced memory systems could face higher costs or limited availability as supplies tighten further.
During Micron’s earnings call, Mehrotra said AI data center buildouts have driven a “sharp increase in demand forecast for memory and storage,” adding that supply will remain “substantially short of demand for the foreseeable future.” Despite plans to boost DRAM and NAND shipments by roughly 20 percent next year, Micron acknowledged the increase will still fall short of market needs.
The warning echoes concerns raised earlier by Tim Sweeney, chief executive of Epic Games. Sweeney recently cautioned that rising RAM prices pose a serious long-term threat to high-end PC gaming. He cited dramatic price hikes for consumer memory kits and predicted that the problem could linger for several years.
For gamers, PC builders, and families upgrading household electronics, the shortage could mean delaying purchases or settling for lower-performance systems. Manufacturers may also pass higher component costs down to consumers, compounding inflation pressures already affecting technology markets.
The situation highlights a broader shift in the global economy, where AI development increasingly consumes manufacturing capacity at the expense of consumer needs. While AI firms and cloud giants benefit from prioritized access, everyday users are left competing for what remains — often at significantly higher prices.
As the AI race accelerates, Micron’s forecast suggests the cost of that progress will be felt well beyond Silicon Valley, reaching living rooms, classrooms, and gaming rigs across the country.
