From Dell to HP: Downstream Manufacturers Sound Relentless Warnings

American consumer electronics manufacturers like Dell and HP have also joined the chorus of warnings this week—predicting that a severe shortage of memory chip supply may occur next year as demand for artificial intelligence infrastructure construction surges.

Prior to this, downstream manufacturers like Xiaomi had already raised alarms about potential price hikes, while companies like Lenovo have begun hoarding memory chips to cope with rising costs. Forecasts released earlier this month by Counterpoint Research indicate that, due to shortages of key chips, memory prices are expected to rise by approximately 50% from current levels before the second quarter of 2026.

The memory chip shortage will drive up manufacturing costs for various products, from mobile phones to medical devices and automobiles. Such chips are used in almost all modern electronic devices that store data, and the AI boom is undoubtedly one of the key drivers of the memory chip shortage.

Dell's Chief Operating Officer, Jeff Clarke, stated during an analyst conference call on Tuesday that the company has never seen costs rise so rapidly. He mentioned that Dell has already felt the tightening supply of DRAM, while also facing shortages in hard drives and NAND flash memory. "The cost base of all products is rising."

Dell is currently adjusting product configurations and portfolios, but Clarke admitted that the impact would ultimately reach consumers. He said the company would consider all options, including adjusting the pricing of some devices.

HP CEO Enrique Lores noted, "For the second half of the year, we are adopting a cautious performance guidance strategy while implementing proactive measures, such as increasing the number of memory suppliers and reducing product memory configurations." The company estimates that memory costs account for 15% to 18% of the total cost of an average PC.