A lot of electronic companies will go bankrupt because of the major RAM shortage problem - Phison CEO

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Recently, Phison CEO Pua Khein-Seng said that many electronics companies will go bankrupt this year due to the RAM shortage crisis. So, what should you know about it?

 

High demand for AI is driving the price up

For your information, the high demand for building artificial intelligence (AI) data centres has already caused prices of phones, tablets, laptops, graphics cards, consoles and TVs to skyrocket. The launch of the Steam Machine has been delayed, while the PlayStation 6 and next Xbox may be delayed beyond 2028 due to a shortage of SSDs and RAM.

Moreover, he said many vendors would go bankrupt or exit the electronics market due to difficulty in obtaining memory supplies. He added that smartphone production was expected to fall by between 200 and 250 million this year, and it would also threaten PC and TV production.

So far, Micron has discontinued consumer products under the Corsair brand, while ASUS will not release any new smartphones this year. This year, we may see several more brands go under and reduce new product introductions until memory supplies recover.


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