RAM shortages could continue for another decade, warns ADATA chairman

Q: Why does Chen say AI demand is driving prolonged memory shortages?

Chen says AI demand is driving prolonged memory shortages because AI and data center sectors have an apparently endless hunger for compute, memory, power, and storage, and the global tech market has underestimated that surge in infrastructure needs. He notes AI companies are gobbling up supply and luring manufacturers to prioritize AI memory over consumer DRAM, while DRAM makers' multi-year expansion plans will not bring significant new production online until around 2028 and may still fall short of rising demand.

Q: Which DRAM manufacturers are mentioned as expanding capacity and when will new production come online?

The article says DRAM manufacturers Samsung, SK Hynix, and Micron are pursuing multi-year expansion plans. It states new production from those projects will not come online until 2028 at the earliest.

Q: What timeframe does Chen give for when discussion of an 'AI bubble' might be relevant?

Chen says discussion of an AI bubble is premature and not relevant until 2040 at the earliest. In an interview he suggested, "We can discuss whether the AI bubble will occur in 2040 or 2050 after 2030."

ADATA's chairman has warned that the memory shortage could last for another 10 years and that any discussion of an AI bubble should wait until 'even 2040'.

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Jak Connor

Tech and Science Editor

Published Jul 21, 2026 3:33 AM CDT

1 minute & 15 seconds read time

TL;DR: ADATA chairman Chen Li-bai warns DRAM shortages may persist another decade as AI and data centers drive unprecedented demand for memory, storage, and power; he dismisses talk of an imminent AI bubble, saying such discussions belong around 2040, and predicts continued price rises and scarce supply through the coming years.

Voice: Jak ConnorSpeed

0:00 / 2:34

ADATA Chairman Chen Li-bai has disregarded talk of an AI bubble, stating it's too early to discuss and isn't relevant until 2040 at the earliest. Simultaneously, he warns that DRAM shortages will persist for another 10 years due to the seemingly endless hunger of the AI and data center sectors.

RAM shortages could continue for another decade, warns ADATA chairman 3

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Truly, this isn't something consumers want to hear right now, especially considering how much prices have increased for desktop memory due to the global shortage as a result of AI companies gobbling up supply and luring memory manufacturers with checkbooks to produce AI memory rather than consumer DRAM.

Chen argues that the global tech market has underestimated the surge in memory and power infrastructure needs. AI compute demand is rising at an unprecedented pace, along with demand for electricity, memory, storage, and various other components. According to Chen, this demand isn't expected to stop anytime soon, and is only really the beginning.

Read more: DDR5 memory costs double as DRAM prices surge by 171.8% year over year
Read more: ADATA chairman says unprecedented and historic shortage of DRAM, SSDs, and HDDs is here
Read more: Global memory shortage expected to get worse before it gets better

RAM shortages could continue for another decade, warns ADATA chairman 1

Chen expects the surge around AI, which is now regularly being described as a "bubble," to last for at least another 10 years, saying in an interview with the Commercial Times, "We can discuss whether the AI bubble will occur in 2040 or 2050 after 2030."

DRAM manufacturers like Samsung, SK Hynix, and Micron are pursuing multi-year expansion plans, but new production won't come online until 2028 at the earliest. Even then, these projects may not meet demand as more and more AI companies get online and begin to seek out hardware and components that are already scarce.

Perhaps one of the biggest reasons Chen is saying the memory shortage will last for at least another 10 years is because ADATA is one of the biggest memory suppliers in the world, with the company previously signaling a 30% DRAM price increase and 40% NAND hike by Q3 2026.

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Question #1

How long does ADATA chairman Chen Li-bai predict DRAM shortages will last?

Chen Li-bai predicts DRAM shortages will persist for another 10 years. He says the surge in AI and data center demand means the memory shortage will last at least a decade.

Answered

Question #2

Why does Chen say AI demand is driving prolonged memory shortages?

Question #3

Which DRAM manufacturers are mentioned as expanding capacity and when will new production come online?

Question #4

What timeframe does Chen give for when discussion of an 'AI bubble' might be relevant?

Have a question not listed here? Ask below and TweakBot will answer it.

The coming decade will be defined by memory and energy scarcity. With no real end to the shortage in sight, consumers and businesses should prepare for prices that continue climbing.