Computer RAM Prices Surge in Chennai as Global AI Demand Triggers Supply Crunch

Computer RAM prices have risen sharply across Chennai, with hardware dealers in Ritchie Street, the city`s largest electronics market, reporting significant increases in the cost of memory modules for desktops, laptops, and smartphones.

The price surge is affecting PC assemblers, small businesses, students, and consumers planning new computer builds or hardware upgrades, as many are postponing purchases due to higher costs.

Current Retail Prices in Chennai (June 2026)

- 8GB DDR4 desktop RAM (3200MHz): ₹4,500-₹5,800

- 16GB DDR4 desktop RAM: ₹9,500-₹11,000

- 16GB DDR5 RAM: Prices have climbed further due to strong demand.

- 8GB laptop SO-DIMM RAM: ₹5,000-₹6,000

The primary reason behind the increase is a global shift in memory chip production. Major manufacturers such as Samsung, SK hynix, and Micron are allocating more manufacturing capacity to High Bandwidth Memory (HBM) used in artificial intelligence data centres, reducing the supply of standard consumer memory chips.

The shortage has also affected the smartphone industry, with manufacturers reporting higher memory costs that have made it more difficult to produce affordable mid-range devices. As a result, fewer smartphones in the sub-₹25,000 segment are expected to launch in the near term.

Local computer dealers say many customers are now choosing refurbished PCs or older DDR3-based systems to keep costs under control.

Industry analysts expect RAM prices to increase by another 40% to 50% during the third quarter of 2026, with supply constraints likely to continue until 2027 or 2028. Hardware retailers are advising buyers who need memory upgrades to purchase RAM sooner rather than waiting for seasonal discounts, as wholesale prices continue to rise.