PC Market Faces Significant Decline as Memory Shortages Hit Manufacturers Hard

PC Market Faces Significant Decline as Memory Shortages Hit Manufacturers Hard

PC shipments may drop by nearly 9% in 2026 due to rising RAM costs, pushing laptop prices higher. The shift to AI memory could reshape consumer electronics significantly.

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A report from the International Data Corporation (IDC) indicates a potential decline in PC shipments of up to 8.9 percent by 2026, primarily due to soaring memory prices. This situation arises as manufacturers pivot production from conventional DRAM and NAND to memory types designed for AI data centers, like high-bandwidth memory and high-capacity DDR5.

The increased demand for memory in AI applications has led to rising costs for components available to PC makers, forcing companies like Framework to elevate the prices of their laptops and parts. The IDC warns that if its bleak scenario materializes, RAM prices could escalate by 6 to 8 percent in 2026.

This predicament is particularly significant as the anticipated surge in sales of "AI PCs," which require more memory to operate local AI models, may not counteract the downturn in the industry. Additionally, the IDC forecasts a potential 5.2 percent decrease in smartphone shipments and a corresponding rise in average smartphone prices, further stressing consumer electronics.

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