Apple CEO John Ternus Warns RAM Costs Are Reaching Unprecedented Levels

Apple’s new chief executive says memory pricing has reached an unprecedented point, delivering a stark warning that computer memory costs will climb even higher before the year ends.

During a conference call discussing the company's financial results, John Ternus cautioned investors about the severity of the ongoing RAM crisis. He stated that memory costs are set to rise further in the final quarter of 2026, building on steep price increases that have already taken place throughout the year.

While Apple's overall financial results beat expectations due to strong sales of iPhones, Mac minis, and products in China, the surging component costs are expected to eat into the company's profit margins. That margin pressure suggests consumers could face further price hikes for popular devices like Macs, iPads, and iPhones as manufacturers navigate the expensive hardware market.

The current situation forms part of a broader industry crisis affecting computer components worldwide. Retail trackers show that DDR5 memory prices have climbed significantly compared to baseline costs before the shortage began, with components across the board experiencing heavy price inflation. Other tech companies have similarly raised laptop prices or adjusted storage configurations to cope with these rising expenses,.

Summary

Apple's warning highlights a severe and worsening memory shortage that is driving up hardware costs across the tech industry. As component prices soar, consumers may face higher price tags or reduced specifications when buying new computers and mobile devices.