Computer memory prices surge, driven by AI data centers
Computer memory and storage prices have surged over the past year due to demand from AI data centers, driving up new PC costs by $200–$300 and making sub-$500 machines likely unavailable by 2028, according to Gartner. Micron Technology, a major memory manufacturer, has shifted production entirely to AI data centers, exacerbating shortages and pushing repair services up 50% at local stores like PC Brokers in Colorado Springs.
The cost of computer memory and storage has risen sharply over the past year, outpacing inflation due to heavy demand from artificial intelligence data centers. According to PC Part Picker, storage prices have climbed significantly since November 2022, while research firm Gartner predicts personal computers under $500 may disappear by 2028. Barry Biggs, owner of PC Brokers in Colorado Springs, reports that memory and storage prices for devices like computers, phones, and gaming consoles have surged, forcing consumers to extend the lifespan of older machines. Used devices now outsell new ones, and repair services at his store have increased by 50%. Micron Technology, one of the three largest memory manufacturers, has stopped producing consumer memory entirely, redirecting all output to AI data centers. The company’s quarterly earnings show record profits, with AI demand reshaping memory as a critical strategic resource. Experts warn that memory shortages and rising costs will worsen by year-end, with Biggs noting that prices may climb further. The shift has forced consumers to prioritize repairs over new purchases, altering the tech market landscape.
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