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Samsung Says Memory Shortage Will Deepen Through 2027 and Not Ease Before 2028

Large AI data‑center contracts are diverting production to high‑bandwidth memory and pushing consumer DRAM prices sharply higher.

Overview

  • Samsung warned on its July 30 earnings call that memory shortages will intensify through 2027 and that it does not expect significant new supply before 2028.
  • The squeeze is driven by demand for high‑bandwidth memory used in AI servers, which requires complex stacked dies and long qualification times so new capacity takes years to bring online.
  • Memory prices have surged, with Morgan Stanley estimating the price per gigabyte of RAM rose from about $2.80 in 2025 to roughly $12 in 2026, sharply increasing device component costs.
  • Samsung’s chip business reported a record operating profit in Q2 while its mobile division posted a loss as the company locked roughly two‑thirds of memory output into multi‑year deals with major data‑center operators.
  • Analysts say the price boom may be entering a late stage and note planned Chinese capacity growth from firms such as CXMT that could add supply by late 2028, but any broad relief remains uncertain and long dated.