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Valve Says Memory Shortage Is Worsening and Limiting Steam Machine Supply

Rising wholesale memory costs driven by AI data-center demand will push consumer hardware prices higher over the coming months.

Overview

  • Over the weekend Valve engineers told reporters the global RAM shortage is getting worse and that retail prices lag bulk supply by about three to six months.
  • Engineers said Valve is producing only as many Steam Machines as its memory allocations allow, which constrained launch volumes and forced a randomized reservation draw to ration stock.
  • The base 512GB Steam Machine starts at $1,049, a price Valve says it could not subsidize because higher DRAM and NVMe costs pushed component bills up.
  • Industry forecasts and company comments from hardware makers expect elevated memory and GPU prices through 2027 with relief unlikely until 2028, keeping near-term price cuts unlikely.
  • The squeeze is driven mainly by AI and hyperscaler data-center demand for memory and storage, a shift that could keep consumer hardware scarce, raise prices, and lengthen wait times for new devices.