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Samsung Predicts Dire Memory Chip Shortage Through 2027
30 Apr
Summary
- Memory chip shortage expected to persist until 2027, possibly worsening.
- Orders for 2027 already received due to anticipated supply shortages.
- AI data center demand is a major driver of rising memory component costs.
Consumers anticipating relief from the global memory chip shortage may face disappointment, as Samsung Electronics forecasts the crisis will extend into 2027 and potentially intensify. Samsung's head of memory business, Kim Jaejune, indicated that orders for 2027 are already being placed by customers concerned about future supply.
This projected worsening supply gap suggests a continued strain on the consumer tech industry. Rising demand for memory chips in AI data centers is a significant factor driving up the costs of components like RAM. Consequently, many consumer tech brands have already raised prices or discontinued certain high-specification models.
Samsung itself has implemented price increases on its consumer-facing products, including existing smartphones and tablets. One DRAM supplier has previously suggested the shortage could last as long as five years, potentially extending to 2030. Samsung recently reported its best-ever quarter, largely propelled by its memory business, with quarterly profits surging over 750% year-over-year.
