Memory price increases are predicted to negatively impact PC and smartphone shipments in 2026. Gartner forecasts a significant decline in both PC and smartphone sales due to the AI-driven memory shortage. Memory prices, including DRAM and NAND flash, have risen dramatically and are expected to continue increasing, potentially by 130% by the end of 2026. This surge in memory costs will likely eliminate the availability of entry-level PCs, valued under $500. Vendors won't be able to build affordable PCs that buyers would want to purchase. Higher prices are expected to deter price-sensitive consumers. AI PCs, requiring more memory, are experiencing inflated prices due to their specialized hardware. The expected decrease in average prices of AI PCs hasn't happened as expected. Downgrading specifications is challenging due to the need for sufficient memory for AI tasks. The lack of compelling applications is also hindering the adoption of AI-powered PCs. Ultimately, the industry faces challenges with both affordability and technological advancements impacting sales.