Read from wccftech:
Bloomberg pushed out a report on supply issues in the memory segment, and the discussion centered on how Big Tech is adjusting to navigate the shortages.
A shortage of memory chips is beginning to hammer profits, derail corporate plans and inflate price tags on everything from laptops and smartphones to automobiles and data centers — and the crunch is only going to get worse.
- Bloomberg
We have talked about why the memory shortages exist in the first place, but the demand from the AI infrastructure buildout has created such a significant imbalance in the supply/demand dynamics that, for now, neither manufacturers like Samsung and Micron nor customers can do anything to guarantee supply. And for entities that are entirely dependent on DRAM for their products, there are only two options left: either raise prices to match the increase in memory contract prices or cut supply. But the latter move would have a significant impact on shareholder value, which is why manufacturers are seeking aggressive hikes.
With hyperscaler spending soaring to new heights and the demand for enterprise-grade DRAM products not slowing anytime soon, it's fair to say memory shortages will persist for several quarters. And each month, the consumer segment will face supply issues. The only concern for us is that these shortages might persist long enough to dampen buyer sentiment towards products, potentially with long-term impacts.
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saw this RAMmageddon PLOT meme lol
Bloomberg pushed out a report on supply issues in the memory segment, and the discussion centered on how Big Tech is adjusting to navigate the shortages.
A shortage of memory chips is beginning to hammer profits, derail corporate plans and inflate price tags on everything from laptops and smartphones to automobiles and data centers — and the crunch is only going to get worse.
- Bloomberg
We have talked about why the memory shortages exist in the first place, but the demand from the AI infrastructure buildout has created such a significant imbalance in the supply/demand dynamics that, for now, neither manufacturers like Samsung and Micron nor customers can do anything to guarantee supply. And for entities that are entirely dependent on DRAM for their products, there are only two options left: either raise prices to match the increase in memory contract prices or cut supply. But the latter move would have a significant impact on shareholder value, which is why manufacturers are seeking aggressive hikes.
With hyperscaler spending soaring to new heights and the demand for enterprise-grade DRAM products not slowing anytime soon, it's fair to say memory shortages will persist for several quarters. And each month, the consumer segment will face supply issues. The only concern for us is that these shortages might persist long enough to dampen buyer sentiment towards products, potentially with long-term impacts.
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saw this RAMmageddon PLOT meme lol
