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AI Boom Could Drive Up Smartphone Prices Worldwide

 


The rapid growth of artificial intelligence (AI) is not only pushing global energy consumption to new highs — it may soon start affecting consumers’ wallets as well.

According to a recent report, the explosive demand for AI technologies is causing a worldwide shortage of advanced processors. This shortage could eventually lead to a significant rise in the prices of upcoming smartphones and other electronic devices.

As AI continues to evolve, the need for high-performance chips and memory modules has skyrocketed. These components are essential not only for data centers powering AI systems but also for everyday consumer electronics. The pressure on the global supply chain is driving up the cost of key electronic parts across the board.

South Korean media outlets, including Hankyung, have reported that Samsung is considering raising the prices of its upcoming smartphone models. The reason lies in the rising cost of advanced memory chips required to support new on-device AI features, which demand far greater memory capacity to operate efficiently.

The core of the problem stems from the surge in production of high-speed memory used in servers that handle AI workloads. This type of chip is much more expensive to produce than traditional DRAM (Dynamic Random-Access Memory) used in laptops and mobile devices.

As manufacturers prioritize these high-performance memory products to meet AI-driven demand, the supply of standard DRAM chips is shrinking — inevitably pushing their prices upward.

In short, the AI revolution comes with a hidden cost: the more we rely on intelligent systems, the more expensive our everyday devices could become.


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