Bitcoin. COVID. NFTs. Gamers have survived every hardware price spike the last decade threw at them. But the AI chip shortage of 2025–2026 is shaping up to be the most far-reaching yet — and unlike the others, there’s no clear end in sight. Analysts expect the shortage to continue through all of 2026 and deep into 2027.
How the AI Chip Shortage Is Hitting Gaming Right Now
The root cause: AI data centres are consuming a staggering share of global memory production. Data centres are projected to consume 70% of global memory chip production in 2026, leaving consoles, gaming PCs, handhelds, and smartphones fighting over the scraps.
| Impact Area | Detail |
|---|---|
| DRAM Price Spike | Memory chip prices jumped 50% in 2025; another 20–30% rise projected in early 2026 |
| Gaming PC Prices | Could surge up to 30% as memory costs escalate through 2026 |
| Console Prices | Expected to rise 10–15% within two years (NYU Stern estimate) |
| Nintendo Switch 2 | RAM costs up 41% vs initial projections; price hike under consideration |
| PS6 Status | Sony reportedly considering delaying PS6 launch to 2028–2029 |
| Steam Deck | All models out of stock in the US; Valve confirmed memory shortages as cause |
| NVIDIA GPUs | Reportedly pausing new gaming GPU releases in 2026 due to memory costs |
| Game Prices | $80 games becoming the norm; GTA 6 could push $100 |
| AI Capex (2026) | Alphabet, Amazon, Microsoft projected to spend $650B on AI infra this year |
| Shortage End Date | DRAM price relief not expected before 2028 at the earliest |
What This Means for Gamers in Practice
Sony CFO Lin Tao confirmed the company is now focused on “monetizing the installed base” and growing software and network services revenue — in plain terms, expect more PS Plus price increases and fewer hardware discounts while Sony waits out the shortage.
Nintendo president Shuntaro Furukawa said memory price rises weren’t significantly impacting results now, but could impact profitability if component costs remain high longer term. Nintendo’s shares have already dropped more than 15% this year on the back of these concerns.
For PC gamers, the outlook is bleaker. A decently powerful gaming rig for under a grand is going to be very hard to find by 2026, with Lenovo, HP, and Dell already warning customers of imminent price hikes. The one silver lining: cloud gaming services like Nvidia GeForce Now and Xbox Cloud Gaming are now genuinely capable alternatives — and at $9.99–$19.99/month, look increasingly attractive against $800+ hardware.
Check our gaming hardware news on TechnoSports and our PS5 and console deals India 2026.
