AI Data Center Buildout Is Pushing Up Smartphone Prices
BT has warned that smartphone prices may rise. Tech companies are buying up memory chips to power AI data centers, creating a global shortage. CEO Allison Kirkby says the shortage already shows up in current orders and will accelerate as AI infrastructure expands.
AI-processed from Guardian; edited by Hamidun News
The global rollout of artificial intelligence in data centers by the largest tech companies (OpenAI, Google, Meta, Microsoft) is creating a shortage of memory chips and storage drives, threatening to raise prices for smartphones and other electronics.
Why do data centers need so many chips?
Data centers need enormous volumes of high-speed memory and storage to train large language models and to process user requests.
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