Comment Re:AI doesn't use desktop hardware including RAM (Score 1) 33
People keep assuming the AI funnel is taking all their ram when the sad fact is that memory manufacturers simply stopped making desktop memory to use the raw materials on purpose built chips for data centers.
Not so much the raw materials as the fab space/time, but yes.
We have pretty extensive history of how this goes; there have been a half-dozen DRAM crunches in the last ~40 years. What always happens is that prices explode, manufacturers build out massive new capacity (which takes years, and as fabs have gotten more complex it takes more years), then all the new capacity goes into production at about the same time and RAM prices crater.
And we're definitely seeing the same processes at work this time. Between Samsung, SK Hynix, TSMC and Micron there's almost a trillion dollars of new fab construction going on right now. When all of that comes on line, it's going to provide a massive boost to output... and RAM prices will almost certainly drop precipitously, losing all of the recent gains plus whatever normal decline we'd have expected, plus some more.
When? Probably around 2030. 2029 if we're lucky, though we might see a little softening by 2028. Definitely not this year and almost certainly not next year.
It could happen faster if the AI bubble bursts before then. I wouldn't hold my breath.