Component Costs
Ongoing coverage on Component Costs.
Latest coverage
A lot of you panic-bought PCs to avoid RAMaggedon 2026
Global PC shipments saw a modest 3.2% year-over-year growth in Q1 2026, driven by pre-emptive purchases before anticipated memory price hikes and the end of Windows 10 support. However, rising AI infrastructure investment is increasing component costs, with analysts predicting significant negative impacts on PC market growth and retail prices throughout 2026.
Meta is raising the price of the Quest 3 and Quest 3S due to memory price rises made worse by Meta
Meta is increasing the prices of its Quest 3 and Quest 3S virtual reality headsets due to rising component costs, particularly for memory chips. This price adjustment will affect both new and refurbished units, with the Quest 3 seeing a $100 increase in the US and the Quest 3S models increasing by $50. Meta cites the global surge in memory chip prices, exacerbated by AI infrastructure demand, as the primary reason for the change.
PS5 Sales Break 2026 Records as Gamers Rush to Beat RAM Crisis Price Hikes
PlayStation 5 sales have surged in the US, breaking 2026 records as consumers rush to purchase consoles before potential price hikes driven by a looming RAM crisis. Gamers are anticipating increased component costs impacting manufacturing, leading to a preemptive buying spree. This surge is affecting retailers and the secondary market, with similar trends observed in other hardware segments.
Nvidia GPU warranty claims cost the company nearly $1BN in 2025
Nvidia incurred nearly $1 billion in warranty claims in 2025, a tenfold increase from the previous year, according to Warranty Week. This surge, representing 0.9% of revenue compared to 0.1% in 2024, suggests a potential rise in claim frequency and cost, possibly linked to VRAM prices. AMD also saw increased warranty costs, though to a lesser extent.
April 2026: Switch 2 Drops Fortnite, GTA, Mario & Perso... | TAG
Multiple reports indicate potential price increases for the Nintendo Switch 2, with experts suggesting a price point over $450 by year's end due to rising component costs. Meanwhile, Kena: Bridge of Spirits receives a Switch 2 port that offers little improvement over previous versions. Sony is also reportedly increasing prices for the PlayStation 5 lineup, with a PS5 Pro potentially costing $900.
Get Ready To Pay More For A Switch 2, Experts Say
Experts and industry figures suggest that the Nintendo Switch 2 may experience a price increase, potentially by the end of the year, due to rising component costs and market trends. While Nintendo has not confirmed a price hike, companies like Sony and Microsoft have recently increased prices for their consoles. Nintendo's president, Shuntaro Furukawa, stated that while no decision has been made, the company will monitor market conditions and profitability if memory costs continue to rise.
'Continuing to sell this product is no longer sustainable': Ayaneo has suspended pre-orders of its uber-powerful Next 2 gaming handheld after costs approached 'twice the price we originally set'
Ayaneo has suspended pre-orders for its powerful Next 2 gaming handheld due to escalating storage costs, which have made production unsustainable. The company stated that the total cost of the device has nearly doubled its original selling price. Pre-orders for existing customers will still be fulfilled, and sales may resume if component prices stabilize.
Sony may push ahead with PS6 despite rising component costs
Despite rising component costs, Sony is unlikely to delay the PlayStation 6 launch, as doing so could incur greater financial penalties. The company has reportedly secured processor manufacturing capacity and invested heavily in the console's APU. Sony previously navigated similar cost pressures during the PlayStation 5's launch.
Valve hints at Steam Machine delay… but the plot thickens
Valve has announced potential delays for its Steam Machine, Steam Frame VR headset, and Steam Controller due to global shortages of memory and storage components. The company hopes to ship in 2026 but is uncertain about pricing due to rising component costs. Separately, the article touches on speculation about the future of Xbox and a potential remake of Assassin's Creed IV: Black Flag.
Top analyst firm Gartner predicts the 'sub-$500 entry-level PC segment will disappear by 2028', along with worldwide PC shipment decline of 10.4% in 2026
Analyst firm Gartner predicts the sub-$500 entry-level PC segment will disappear by 2028 due to rising memory costs, which are expected to become 23% of the total bill-of-materials. This trend, coupled with other supply chain factors, is also projected to cause a 10.4% decline in worldwide PC shipments in 2026. Gartner advises PC vendors to prepare for reduced unit volumes to maintain profitability rather than chasing price-sensitive buyers.