Rising memory chip prices seen slowing global demand for smartphones, PCs
US tech firms such as OpenAI, Alphabet-owned Google and Microsoft have absorbed much of the world’s memory chip supply due to rapid development in artificial intelligence (AI) infrastructure. This has pushed up prices as manufacturers prioritize components for higher-margin data centers over consumer devices.
However, rising memory chip prices is likely to affect the global demand for electronic devices as companies increase prices to offset surging chip costs. World demand for smartphones, personal computers and gaming consoles is expected to shrink this year as companies from Britain’s Raspberry Pi to HP Inc. raise sticker prices to compensate for the rocketing memory chip costs.
Samsung, SK Hynix and Micron, the world’s three largest producers of memory chips, have said in recent months that they were struggling to keep up with demand as they reported rosy quarterly earnings on the back of surging prices for their semiconductors.
Incidentally in Dec. 2025, Micron announced its exit from the consumer market. The company will retire memory products sold under the Crucial brand, which includes NVMe SSDs and external storage, as well as DDR4 and DDR5 RAM. The move comes as a shocker as it is poised to worsen the ongoing memory shortage in the market.
Micron’s exit will leave a gaping hole in the consumer memory market, depriving PC builders of the trusted Crucial brand. It also remains unclear if any company can fill the gap when analysts are warning that the memory shortage could last for years. Samsung and SK Hynix are also reportedly prioritizing profitability over risky expansions.
Research firms IDC and Counterpoint both now expect global smartphone sales to shrink at least 2 percent this year, in a sharp reversal from their growth outlook a few months ago. That would mark the first annual decline in shipments since 2023.
The PC market is expected to shrink at least 4.9% in 2026, IDC estimated, after an 8.1-% growth last year. Meanwhile, console sales are expected to fall 4.4% in the current year after an estimated growth of 5.8% in 2025, according to TrendForce.
Tough choices for manufacturers
While several firms have already raised prices, industry heavyweights Apple and Dell face a tough choice: take on the costs and sacrifice margins or pass them onto consumers at the risk of stifling demand.
Emarketer analyst Jacob Bourne said: “Manufacturers might absorb some costs but given the scale of the shortage, it is certainly going to show up as higher prices for consumers.” He added: “It is going to result in more tepid consumer device sales in 2026. It will be a challenge for these companies that are trying to sell products during a time of broader inflation.”
Reference: Surging memory chip prices dim outlook for consumer electronics makers
One intelligence everywhere
Lenovo designed Qira as a single intelligence that follows users across PCs, tablets, smartphones, and wearables. It maintains continuity as people shift screens, environments, and tasks. The system operates through three core attributes: presence, actions, and perception.
Presence focuses on accessibility and consistency. Qira integrates directly into the operating system and offers multiple entry points. Users can invoke it by saying “Hey, Qira,” pressing a dedicated key, or tapping a persistent interface element. It can also remain silent until needed.
Actions define how Qira gets work done. The system can act on a user’s behalf using device capabilities and local AI, including offline processing. It coordinates actions across apps and devices without forcing users to manage each step manually.
Perception underpins personalization. Qira builds a fused knowledge base using user-selected interactions, memories, and documents. Cross-device sensing allows it to understand context and continuity over time, while privacy and consent remain central.
Reference: Lenovo debuts world’s first ambient, cross-device AI system at CES 2026
But are Filipinos ready for AI?
Filipino workers are steadily embracing artificial intelligence, and the Philippines is making significant strides towards an AI-ready future. Bayanihan remains one of the most enduring traits in Filipino culture. Values like selflessness, solidarity, trust and cooperation embody what a true spirit of bayanihan.
Emmy Lou Versoza-Delfin, director of DICT’s ICT Industry Development Bureau (IIDB), shared: “This is as much about inclusion as it is about innovation. It’s about making sure we all grow and adapt together—wala tayong iwanan. It is a powerful reminder that when technology blends with culture, everyone can benefit and grow together.”
HP Philippines Managing Director Ida Evina Ong-Co reaffirmed HP’s commitment to ensuring that the AI revolution benefits all Filipinos. She emphasized the company’s focus on delivering technology that is not only powerful and secure but also accessible so everyone can thrive.
Although many fear that AI could replace human workers, Idris Atakli, HP Consultant and AI Product Strategist, dispelled this myth, emphasizing how AI can streamline tasks and enhance productivity through solutions like HP’s AI Companion. According to HP’s Work Relationship Index, 76% of Filipino knowledge workers believe AI will make their jobs easier, while 75% say it will make their work more interesting.
Michelle Alarcon, president of AAP, stressed that AI will amplify our ability to think, solve problems, collaborate, and lead. She urges: “Everyone should be looking at how to leverage AI. Right now, we’re all on relatively equal footing, so it’s the perfect time to start preparing—organize your data, refine your processes—so that when you begin using AI, your systems are ready to integrate and fully benefit from it.”
Together, HP, DICT and AAP shared a unified vision. AI adoption is not just about technology. It is about empowering people. With AI, people will work smarter, better and faster. When done right, it won’t just level up individual skills but the entire system as well.
Reference: Manila Bulletin – The power of we
