The reason will be the rapid increase in memory prices.
The analytical company Gartner predicts the disappearance of the PC segment costing less than $500 within the next two years. The reason will be the rapid increase in memory prices, which is already putting pressure on the entire technology market.
In a new report on the state of the PC market, the company's experts note that the global jump in memory prices will continue to affect device sales not only this year, but also in subsequent years. According to the forecast, in 2026, global shipments of personal computers will decrease by 10.4% compared to last year, and smartphone shipments will decrease by 8.4%.
By the end of 2026, DRAM and SSD prices are expected to increase by 130%. This will lead to an increase in the cost of PCs by approximately 17% compared to the 2025 level, and smartphones by 13%. As a result, the share of memory costs in the total cost of a new computer will increase from 16% to 23%.
According to senior analyst Ranjit Atwal, it will be more difficult for retailers to compensate for the increase in costs. Budget laptops and entry-level PCs traditionally have low margins, and with the current price dynamics, their sale may become unprofitable.
A number of large companies are already signaling possible production problems. Apple and Tesla warn of possible restrictions on product output. The Steam Deck console from Valve is regularly out of stock in the Steam store — the company previously stated that this could become commonplace due to a shortage of memory and storage devices.
