When DRAM or NAND flash gets more expensive, phones and computers cost more to build. That can push up retail prices, but there is no fixed one-for-one pass-through: manufacturers may instead accept lower margins, reduce base-model capacity, change which devices they sell, or delay a refresh. The effect depends on the component, inventory, supplier contracts, device and price segment.
What “memory” and “storage” mean in a device
DRAM is working memory: it helps a phone or computer keep data readily available while apps and tasks are running. NAND flash is persistent storage, used for files, apps and operating-system data; it is the underlying technology in SSDs and much built-in mobile storage.
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Manufacturers buy these components and include their costs in a device’s bill of materials (BOM), the direct cost accounting for the parts used to make the product. A higher component cost puts pressure on the BOM, but the BOM is not the retail price. It does not capture every cost or commercial factor that shapes what a buyer pays.
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How a component-price increase reaches shoppers
Contract-price changes affect device makers as new supply agreements take effect and existing inventories are used up. TrendForce’s July 2026 analysis says higher-cost components are gradually flowing through notebook inventories and that smartphone makers may raise retail prices to offset high LPDRAM costs (TrendForce’s July 2026 analysis).
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What happens next is a business choice, not a formula. A maker can pass some of the increase to buyers, absorb it through a thinner gross margin, reduce RAM or storage in a base configuration, steer buyers toward more expensive models, delay a product refresh or stop offering a low-priced option that no longer makes economic sense. IDC says configuration cuts and higher prices are possible in low-margin product tiers (IDC’s February 2026 outlook).
That is why a forecast for memory-chip prices cannot be read as the expected price rise for every finished phone or computer. Brands have different contracts, inventories, configurations and margins, and the same cost pressure can lead to different product decisions.
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Why memory prices are under pressure
Analysts identify demand from AI infrastructure, servers and data centers as a significant pressure on memory supply. These applications compete with consumer devices for DRAM and NAND capacity. TrendForce reports suppliers prioritizing AI-related and server uses, shifting capacity away from PC DRAM, and continued tight supply of LPDRAM, the low-power DRAM used in mobile devices. It also says consumer price sensitivity limits how quickly manufacturers can raise prices in its Q3 2026 forecast (TrendForce’s July 2026 analysis).
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Gartner’s April 2026 outlook links sharp memory-price inflation to demand for AI, networking and data centers; IDC likewise describes AI infrastructure as competing with consumer-device needs for DRAM and NAND capacity (Gartner’s April 2026 outlook; IDC’s February 2026 outlook). These are analysts’ explanations of market pressure, not evidence that AI is the sole cause of every memory-price move.
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Why budget phones and computers may feel it first
Entry-level products often have less room to absorb a component-cost increase. Buyers at lower price points are especially price-sensitive, and manufacturers typically have less margin available to cushion the extra cost. Gartner says entry-level smartphones are disproportionately exposed while premium smartphones are less affected because their margins are higher (Gartner’s February 2026 outlook).
Gartner estimated that memory accounted for 16% of total PC BOM in 2025 and forecast that the share could peak at 23% in 2026 (Gartner’s February 2026 outlook). Those are estimates and forecasts about PC component costs, not a claim that retail PC prices rise by the same percentages.
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IDC gave an illustrative example of the trade-off: a budget phone that might previously have launched with 12GB of RAM and 256GB of storage could instead offer 8GB and 128GB at the same price, or cost more. IDC also said entry-level PC base configurations could come with less RAM and SSD capacity (IDC’s February 2026 outlook). These are industry expectations, not claims about every brand or model.
What analysts forecast for 2026
The figures below concern worldwide markets unless otherwise noted. They are forecasts or estimates published in 2026, not confirmed outcomes. Component contract prices, device shipment volumes and retail prices measure different things.
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| Publisher and date | Measure | Published estimate or forecast |
|---|---|---|
| Gartner, February 2026 | Combined DRAM and SSD prices | Forecast to surge 130% by the end of 2026 |
| Gartner, February 2026 | PC and smartphone prices | Projected to rise 17% for PCs and 13% for smartphones versus 2025 |
| Gartner, February 2026 | PC and smartphone shipments | Forecast to decline 10.4% for PCs and 8.4% for smartphones in 2026 versus 2025 |
| IDC, February 2026 | PC and smartphone shipments | Forecast to decline 11.3% for PCs and 12.9% for smartphones in 2026 |
| TrendForce, July 2026 | Conventional DRAM and NAND flash contract prices | Forecast to rise 13–18% and 10–15%, respectively, quarter over quarter in Q3 2026; these are component prices, not retail device-price changes |
| Gartner, April 2026 | Annual DRAM and NAND flash prices | Estimated to rise 125% and 234%, respectively, in 2026 |
Gartner and IDC published different shipment forecasts for 2026. They should be read as separate forecasts rather than combined or averaged. Gartner’s April estimate of annual memory-price increases is also a different measure and publication date from TrendForce’s Q3 contract-price forecast.
What this means when choosing a device
Compare the actual configuration and total price rather than relying on a model name alone. A product’s base version may offer less capacity than a predecessor, while a higher-capacity version may carry a larger price premium.
- Check the listed RAM and built-in storage for the exact configuration you are considering.
- Find out whether RAM or storage can be upgraded later, or whether the components are soldered and fixed.
- Compare prices for like-for-like configurations, not just the cheapest advertised model.
- Consider how long the device will receive support and whether its capacity will suit your expected use over that period.
- Check whether external file storage works with your device and workflow. A compatible portable SSD can add room for files, but it does not add RAM or replace internal storage for every workload.
Higher memory costs can mean a higher shelf price, less capacity at a familiar price, fewer low-cost choices or a delayed upgrade. Which outcome appears depends on the manufacturer’s response; none is guaranteed for every product.
Quick Recap
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