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Acer CEO predicts PC prices will fall in 2027 after memory crisis-driven hike
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Acer CEO predicts PC prices will fall in 2027 after memory crisis-driven hike

Acer CEO, Jason Chen, predicted that computer costs may begin a new phase of decline in 2027. He believes that price adjustments driven by the current shortage of RAM memory may start to reverse by the end of next year.

This outlook positions Chen as one of the most optimistic voices within the memory sector, contrasting with the more pessimistic views presented by executives from major memory producers, who indicate longer timelines for component supply to catch up with demand.

Chen shared these comments in an interview given to DigiTimes, as reported by TechSpot. For the Acer leader, the situation improvement could occur faster than suggested by some of the market's more cautious projections.

Divergent Views on Memory Availability

Jason Chen's analysis differs from recent statements by other industry executives. Sanjay Mehrotra, CEO of Micron, stated earlier this year that the memory supply restriction would extend beyond 2027. Meanwhile, Kwak Noh-Jung, CEO of SK Hynix, estimated that the peak of the shortage would occur in 2027, but that the supply limitation would persist until 2030.

An even longer forecast was presented by Chen Li-bai, president of Adata, who calculates that high prices could remain for another decade, even with plans to expand production capacity across the industry.

However, Jason Chen interprets these projections differently. He suggests that the more negative forecasts might be influenced by manufacturers' incentives to preserve their profit margins, and not necessarily reflect a generalized memory shortage.

Chen argues that the supply of most types of RAM and SSD has already met demand. In his assessment, real restrictions are primarily concentrated in high-performance components, citing examples such as the fastest DDR5 modules and chips like the N1X, manufactured by Nvidia.

If Chen's assessment proves correct, computer prices could begin to decrease at the end of 2027, following a period characterized by increased memory demand driven by the expansion of artificial intelligence (AI) infrastructure.

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Memory shortage forces manufacturers to alter designs, test chips, and adjust device prices
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Memory shortage forces manufacturers to alter designs, test chips, and adjust device prices

The scarcity of memory chips is forcing smaller manufacturers of cell phones and notebooks to redesign their products, test components, and pass some of the additional costs on to consumers. In addition to the impact on prices, the uncertainty about supply threatens these companies' ability to produce their devices.

According to Reuters, companies such as Fairphone, Jolla, and Framework have adopted distinct strategies to cope with this shortage. The crisis is expected to last until at least 2027, although Jolla expects supply to only return to normal from 2028.

For smaller producers, securing sufficient memory has become an even greater priority than simply absorbing the increase in component costs. Raymond van Eck, CEO of Fairphone, told Reuters that, 'If you don't have allocation, you are out of the game anyway.'

The difficulty intensified late last year, a period when companies sought to secure stocks. Nirav Patel, CEO of Framework, reported that this led 'everyone to try to get as much supply and stock as possible, as quickly as possible,' worsening the shortage situation.

The market also reflects this impact on smartphone projections. Counterpoint Research estimates a 13.9% reduction in global smartphone shipments this year, totaling 1.08 billion units, representing the largest annual contraction ever recorded. The rising cost of memory makes entry-level models less viable for manufacturing.

Companies are also modifying the design of their equipment to create more options in case certain components become difficult to source. In the specific case of Jolla, tests involve an additional verification to confirm whether the chips are new and not refurbished parts sold as original items.

Although memory prices remain high, the growth rate has slowed. TrendForce anticipates an increase of 13% to 18% in conventional DRAM contracts this quarter, a level significantly lower than the 93% to 98% observed in the first quarter.

The effect is particularly severe on cell phones in the $400 range (about R$ 2 thousand). Raymond van Eck, from Fairphone, pointed out that memory can constitute almost 60% of the bill of materials for these devices. Thus, each manufacturer has developed a particular approach to managing the increase in costs.

The supply outlook remains constrained. In July, the CEO of SK Hynix warned that 2027 would be 'the worst year in the industry's history from a supply perspective,' with demand exceeding capacity even after 2030. Jolla, meanwhile, projects that supply will only stabilize from 2028. Until then, smaller manufacturers will have to deal not only with higher costs but also with the complexity of securing enough components to maintain production.

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