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The RAM Shortage's Silver Lining: A Shift Away from "AI PCs" Hype

The RAM shortage's impact on the "AI PCs" hype has been significant. With prices rising and demand waning, it seems that PC manufacturers will focus on providing solutions rather than creating demand. Will this shift have a positive impact on consumers?

RAM prices have soared in recent times, causing concerns for those looking to purchase, build, or upgrade their computers this year. However, for individuals exasperated by the constant talk of so-called AI PCs, the rising RAM costs may be a welcome relief.

According to Ben Yeh, principal analyst at technology research firm Omdia, mainstream PC memory and storage costs increased by 40% to 70% in 2025, resulting in cost increases being passed through to customers. This trend is attributed to the growing demands of data centers, fueled by the AI boom, leading to a shortage of RAM and flash memory chips.

Despite the surge in global PC shipments in 2025, with growth pegged at 9.2% compared to 2024, analysts expect PC sales to be more tumultuous in 2026. Jean Philippe Bouchard, research VP with IDC's worldwide mobile device trackers, notes that "the year ahead is shaping up to be extremely volatile."

To manage the RAM shortage, PC makers are expected to raise prices and release computers with lower memory specs. IDC anticipates price hikes of 15% to 20%, while Omdia's Yeh expects "leaner mid to low-tier configurations" to protect margins.

The impact of the RAM shortage on the concept of AI PCs cannot be overstated. The term, which OEMs have used consistently over the last two years to leverage the growth of generative AI chatbots, has failed to gain traction with consumers. "PC OEMs had trouble selling the on-device AI message even before the memory shortages," remarks Jitesh Ubrani, research manager for worldwide mobile device trackers at IDC.

As a result, IT buyers may prioritize local AI capabilities over those offered by OEMs. This shift in demand perspective could work in favor of PC manufacturers, as they don't need to provide large amounts of RAM for their AI PCs.

While the idea of AI PCs is not inherently bad, the hype surrounding them has become increasingly detached from reality. With a RAM crunch and lack of customer demand, there's hope that PC companies will focus on providing solutions rather than creating demand. The resurgence of Dell's XPS brand at CES 2026 serves as a case in point, with Kevin Terwilliger acknowledging that consumers are not buying AI PCs due to the perceived benefits.

Microsoft also seems aware of the shortcomings of AI PCs. CEO Satya Nadella expressed disappointment with the consumer version of Copilot, citing tools for connecting it with Outlook and Gmail as "not smart" and a hindrance to its effectiveness.

In conclusion, the RAM shortage's silver lining is that it may lead to a shift away from the hype surrounding AI PCs. As the market becomes more cautious, PC manufacturers will focus on providing solutions rather than creating demand. This could be a welcome change for consumers who are increasingly skeptical of the benefits offered by AI PCs.