Data from Korea’s Trade Statistics Promotion Institute (TRASS), reported by ChosunBiz, reveals that from August 1st to August 20th, the export unit price for DRAM reached roughly KRW127 million per kilogram. The price marks a staggering 401 percent annual jump and stands 12.5 times higher than prices in January 2023, when the AI buildout entered its earliest phases following OpenAI’s public launch of ChatGPT in November 2022.

Comparing this to gold prices in Korea, the latest data shows that 620 grams of 24-karat gold costs KRW126.6 million. Gold prices have fluctuated higher in 2026 primarily due to the weakness of the US dollar and global economic uncertainty stemming from higher energy costs related to the conflict in Iran. Memory manufacturers SK hynix and Samsung have responded to the surge by paying generous bonuses to their employees, with Micron’s workers in Taiwan purportedly interested in similar compensation.

Impact on Consumer Electronics and Smartphone Manufacturing

The memory price explosion has reshaped cost structures across the electronics industry. According to estimates from Weibo’s Digital Chat Station, a 12GB RAM plus 256GB NAND flash combo now costs approximately $310, a 340 percent increase from last year’s price of roughly $70. This pairing has become more expensive than top-end smartphone chipsets, fundamentally altering the bill of materials for mobile devices.

Premium smartphone SoCs are priced around 2,000 RMB (approximately $280), making them the second most expensive component despite moving to TSMC’s 2nm “N2” and “N2P” processes this year, starting with Apple’s A20 Pro. The memory and storage combination now surpasses even advanced lithography chipsets, forcing smartphone manufacturers to struggle immensely to generate healthier margins. If manufacturers opt for higher configurations like 16GB + 256GB or 16GB + 512GB options, that results in a massive bill of materials figure, compelling various companies to introduce substantial price hikes.

This pricing pressure explains why some of Google’s newest Pixel 11 Pro models not only ship with 12GB RAM instead of 16GB but are also more expensive than the Pixel 10 Pro. Apple has also raised prices for several products earlier this year in response to memory cost pressures, though the company maintains an advantage by developing its own chipsets with TSMC mass producing the final design and shipping it in batches.

Aggressive Lobbying and Supply Chain Disruption

The severity of the memory shortage has driven Apple to aggressively lobby the US government to buy memory chips from China’s CXMT. CXMT’s IPO set records in China, and the firm aims to create a place for itself in the global memory market due to the shortage. The global memory market remains effectively controlled by Korea’s SK hynix and Samsung and America’s Micron, with the latter expanding capacity in America to reduce the tech sector’s reliance on the global supply chain.

Computer manufacturers have been forced to reshape their procurement strategies in response to the price surge. One of MSI’s latest gaming laptops, the Katana 15 HX C14W, relies on DDR4 memory chips along with the newer DDR5 chips as a cost-mitigation strategy. Multiple reports suggest that NVIDIA might also feel the memory price crunch, with recent reports indicating that servers equipped with the firm’s Rubin GPUs could see their prices rise by anywhere between 15 percent to 17 percent, with memory accounting for a large portion of the increase.

Market Dynamics and Future Outlook

Unlike Apple, which manufactures its own chips, Android phone makers must pay firms like Qualcomm and MediaTek a premium to use their silicon, thereby playing a losing cost game. Apple isn’t required to purchase from Qualcomm, MediaTek, or Samsung since it develops its own chipsets, giving the Cupertino giant an edge in the smartphone industry. However, even Apple isn’t immune to the DRAM shortage affecting its supply chain and product pricing strategies.

The memory price surge represents a fundamental shift in semiconductor economics driven by artificial intelligence infrastructure demands. Advanced lithography and next-generation manufacturing processes once meant that a smartphone’s chipset would be the costliest component running inside mobile devices, but the AI boom has completely reversed that equation. The dramatic 401 percent annual increase in DRAM export prices reflects unprecedented demand pressures across data centers, consumer electronics, and enterprise computing sectors.

Extended Timeline for Price Relief

Industry observers expect that memory and storage costs will continue to soar through 2028, with the expiration date of this pricing saga potentially arriving sometime in 2029. The extended timeline suggests that manufacturers, consumers, and technology companies must prepare for sustained pressure on margins and pricing across multiple product categories. The shortage has already triggered substantial changes in product design, component selection, and market positioning strategies throughout the electronics industry.

The comparison to gold prices underscores the extraordinary value now assigned to memory chips in the global economy. As AI infrastructure demands continue expanding, the memory shortage shows no immediate signs of abating, leaving manufacturers scrambling for capacity and consumers facing higher prices across smartphones, computers, and data center equipment. The situation has created opportunities for new entrants like CXMT while intensifying competition among established players to expand production capacity and secure long-term supply agreements.

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