Rising Memory Prices Could Phase Out Budget PCs

The global PC market is facing significant pressure as rising memory prices threaten the future of entry-level devices. 
 
According to research firm Gartner, the sub-$500 laptop segment could disappear by 2028 due to escalating component costs.

Memory is expected to account for about 23% of a PC’s bill of materials in 2026, up from 16% the previous year. 
With combined DRAM and SSD prices projected to surge by as much as 130% by the end of 2026, overall PC prices could rise by 17% compared with 2025 levels.

The increasing demand for memory from AI data centers is tightening global supply, leaving PC manufacturers struggling to absorb costs.

As a result, global PC shipments are forecast to decline by around 10.4% in 2026—the sharpest drop in more than a decade—as consumers and businesses delay upgrades.

Higher prices are also expected to lengthen device lifecycles, with PC usage extending by 15% for businesses and 20% for consumers. 
 
This could raise cybersecurity concerns as older systems remain in use longer.
 
Meanwhile, demand is likely to shift toward premium devices where vendors can maintain margins. 
 
A similar trend may affect smartphones, with shipments projected to decline as budget buyers move towards refurbished alternatives.