AI chip demand is hitting TVs and audio tech

Growing demand from AI data centres for memory and storage is reducing supply of DRAM and NAND and pushing up prices, and industry reports say that will affect TVs, soundbars and other consumer AV devices, especially at the budget end.

Manufacturers of TVs, soundbars, DACs and other consumer audio-visual devices are reporting tighter supplies and rising memory costs. The pressure is linked to rapid build‑out of AI data‑centre infrastructure that demands large volumes of memory and storage chips. Multiple reports say that AI customers are taking a growing share of NAND, DRAM and hard‑drive supply. That combination is likely to put more strain on lower‑cost AV models where margins are thin. Known details: - Reports cite large AI orders for semiconductor wafers; one item noted OpenAI intends to order 900,000 wafers in 2029, about 40% of current production. - The Wall Street Journal reported that AI infrastructure is consuming a large portion of available NAND, DRAM and hard drives, reducing memory available for other markets. - Consumer AV products use DRAM and NAND for smart functions and storage, and those components’ prices are rising. - Micron has restructured its consumer memory business (Crucial) to focus on larger, strategic customers, and SK Hynix said it had secured full customer demand for its DRAM and NAND for the next year. - Market reports referenced forecasts that RAM prices could rise more than 50% quarter‑on‑quarter, that DRAM has surged about 171% year‑on‑year, and that DDR5 spot prices have increased sharply since September 2025. - New production capacity is being added, but that capacity is not expected to be available until around 2027. Summary: The current shift in chip demand is likely to lead to higher component costs for TVs and audio hardware, with the strongest effects at the budget end of the market. Some manufacturers have warned of price pressure or adjusted plans, and others may limit specifications or delay products in response. New supply capacity is not expected to come online until about 2027, so supply constraints and elevated prices could persist until then.