AI Demand Drives Memory Chip Prices to 2007 Levels, PC and Console Makers Raise Prices

Global memory chip prices continue to surge. Latest research data show that over the past year, the sharp rise in memory costs has erased the price reductions accumulated over the previous 20 years, bringing per-unit memory prices back to 2007 levels. Data released by computer science researcher Daniel Lemire indicate that the current memory price increase breaks the decades-long pattern of exponential decline in storage hardware costs. Market analysis firm data show that since early 2024, global storage prices have risen by more than 400%.

The memory chip shortage has expanded from DRAM chips to NAND flash, pushing up prices for solid-state drives, USB flash drives, memory cards, and portable hard drives. Currently, NAND flash contract and retail prices are 50% to 100% higher than before the crisis. Component cost fluctuations have passed through to consumer devices, with PC makers such as Apple, Dell, and HP raising prices on their laptops and MacBooks. Sony and Nintendo have also announced price increases for the PS5 and Switch 2, respectively.