Your Samsung Device Could See Higher Prices Amid AI Chip Shortages

By Linet Amuli - Reporter

Kenya, 29 January 2026 - Global memory chip leaders Samsung Electronics and SK Hynix have warned that manufacturers of smartphones and personal computers could face tighter supplies of key components as production increasingly shifts toward chips used in artificial intelligence systems.

The two South Korean firms, which together dominate the global DRAM memory market, say they are directing more of their manufacturing capacity toward high-bandwidth memory (HBM) chips designed for AI servers. These chips are in high demand as technology companies worldwide invest heavily in data centres and artificial intelligence infrastructure.

As a result, the availability of standard DRAM chips , commonly used in smartphones, laptops and tablets , is becoming more limited. Industry executives say this is already making it harder for device makers to secure supplies at stable prices.

SK Hynix said PC and mobile phone producers are feeling the pressure as server-related products absorb a growing share of chip output. Some manufacturers have started cutting back on memory purchases or reducing specifications in lower-priced devices to manage rising costs.

For Africa, where affordability plays a major role in device adoption, the shift could translate into higher handset prices or slower upgrades of entry-level smartphones and laptops. The continent relies heavily on imported electronics, making it especially sensitive to global component shortages.

Market researchers now expect global smartphone sales to contract this year instead of growing, while the PC market is forecast to shrink again in 2026 after a brief recovery. Such trends could affect African distributors and telecom operators that depend on steady device turnover to grow mobile broadband and digital services.

Samsung’s mobile division has already reported weaker profits, with executives warning that elevated memory chip prices could limit shipment growth in the coming year. The company has said it plans to keep prioritising AI-focused products as it tries to close the gap with rival SK Hynix in the fast-growing HBM segment.

SK Hynix currently leads the high-bandwidth memory market, supplying major AI chip developers, and has pledged to defend its position in the next generation of HBM technology. Competition between the two firms is intensifying as AI becomes the main driver of semiconductor investment.

While AI data centres promise long-term benefits for digital economies , including in Africa , the short-term impact could be reduced availability of affordable consumer devices, potentially slowing smartphone penetration and PC adoption across emerging markets.

As global chipmakers continue to channel resources into AI hardware, African consumers and businesses may soon feel the effects through tighter supply chains and rising device costs.