Micron, a leading semiconductor manufacturer, anticipates that the current RAM shortage will extend through 2027, with a potential easing of conditions not expected until 2028. Micron CEO Sanjay Mehrotra shared these projections during the company's Q3 2026 earnings report, attributing the persistent scarcity to unprecedented demand within the semiconductor industry.
Mehrotra stated that "tight conditions to persist beyond calendar 2027 as a result of AI-driven demand across all segments coupled with structural supply constraints." The increasing demand for semiconductors, essential for components like RAM, VRAM in graphics cards, and SSDs, has already led to significant price hikes over the past few years. Micron itself shifted its focus from consumer products, including its Crucial brand, to its more profitable data center business.
This industry-wide trend has directly affected the cost of gaming hardware. Components such as RAM sticks and complete systems like the PlayStation 5, Xbox Series X, and Steam Machine have seen their prices increase. For instance, the Steam Machine's launch price was significantly higher than initially planned due to the rising cost of its underlying hardware.
While industry supply may see gradual improvement in 2028, Mehrotra noted that there is currently no clear indication of when memory supply will be able to meet the escalating demand. This outlook suggests that elevated hardware prices are likely to remain a factor for consumers and could impact the pricing of future gaming consoles, such as the next-generation PlayStation and Xbox systems.