Micron to Increase Memory Prices in 2025-2026 Due to High Demand
Micron, a leading memory chip manufacturer, has announced that it will increase memory prices throughout 2025 and 2026. The company says the price hike is necessary because of a shortage of memory supply and a rise in demand.
Why Micron prices are going up?
Micron explained that demand for DRAM, NAND flash, and high-bandwidth memory (HBM) is growing quickly. This is happening because more companies need memory chips for AI, data centers, and consumer electronics. The memory industry recently suffered from oversupply, which caused prices to drop. However, major manufacturers, including Micron, reduced production to help stabilize prices. Now, demand is rising, and supply is not enough to keep up, leading to higher costs.
Micron informed its business partners that AI and high-performance computing (HPC) are key reasons for the price changes. The company has asked its partners to provide detailed demand forecasts so it can manage production and avoid major supply issues.
To meet future demand, Micron is also investing $7 billion in a new HBM assembly facility in Singapore. The plant will begin operations in 2026 and will focus on producing advanced memory like HBM3E, HBM4, and HBM4E. These types of memory are used in high-end AI processors and GPUs from NVIDIA, AMD, Intel, and other major tech companies.
As memory prices rise, the cost of products that rely on these chips—such as gaming PCs, AI-powered devices, and cloud servers—could also increase. This might make it more expensive for companies and consumers to upgrade their systems.
Micron’s price hike could impact the entire tech industry, as memory is a crucial part of many electronic devices. We will continue to monitor how these changes affect businesses and everyday users.
