Why laptop prices may jump up to 35% this year
What's the story
If you're planning to buy a laptop or desktop this year, be prepared for a major price hike. Analysts have warned that the cost of these devices could go up by as much as 35%. The spike is mainly due to rising DDR RAM prices and a shortage of entry-level Intel processors. The increase will affect affordability and may lead to an overall decline in PC shipments.
Price surge
RAM prices have surged by up by 2.5-3 times
The rising cost of components is already affecting device prices. According to Bharath Shenoy, a senior market analyst at IDC India, RAM prices have gone up by 2.5-3 times, which has pushed laptop and desktop prices by some 10-12% so far. An additional 8-10% increase is expected in March and another 10% rise over the next few months as component costs continue to climb.
Impact on consumers
Prices of entry-level devices are rising rapidly
The rising costs are pushing devices that were once priced between ₹30,000-35,000 closer to ₹45,000. This is making it difficult for students, home users, and first-time buyers to upgrade their devices. Prices are likely to continue rising for the next six-seven quarters and may not stabilize until the second half of 2027. This could prompt some customers to advance their purchases.
Market impact
A decline in shipments is expected
The rising costs are likely to weaken consumer demand and lead to a decline in PC and laptop shipments by the end of 2026. Shenoy estimates a high single-digit decline year-on-year, roughly 7-8%, across both consumer and commercial PC segments. This is because higher prices could discourage purchases among consumers who are already feeling the pinch of rising costs.
Global impact
AI infrastructure demand is driving memory prices higher
The spike in memory prices is being driven mainly by AI infrastructure demand, which is diverting supply toward high-margin server and high-bandwidth memory segments. Anshika Jain, a senior analyst at Counterpoint Research, told Moneycontrol that this trend is raising bill-of-material costs for device manufacturers globally. Entry-level buyers may delay purchases or opt for lower-spec models due to these rising costs.
Mitigation strategies
Brands are exploring ways to keep devices accessible
To soften the impact of rising costs, brands are exploring ways to keep devices accessible. Analysts say companies are adjusting product configurations, running promotional campaigns, and offering financing schemes to support demand. Despite the price hikes, premium segments such as gaming, creators, and enterprise users remain less price-sensitive and continue to drive demand for their products.