The artificial-intelligence boom is reversing a four-decade trend of falling computer costs, with prices for PCs, software and accessories rising more than 3% a month in recent readings, according to Oxford Economics. Surging demand for AI computing has tightened supplies of memory chips, pushing up hardware costs for the first time since the early 1980s, said economist Bernard Yaros, who expects shortages to persist at least through 2027. Analysts say prices could moderate later as consumer hardware demand cools and competition intensifies. Meanwhile, the rapid buildout of AI data centers is lifting electricity consumption, straining the U.S. grid and nudging utility bills higher. Tech stocks have rallied on AI investment, potentially amplifying spending via a wealth effect and adding to inflation pressures.
Related articles:
Data center
Dynamic random-access memory (DRAM)
Graphics processing unit (GPU)
Use of electricity (U.S. EIA)
