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Intel has warned that the global shortage of electronic device memory is expected to continue until at least 2028, citing rapidly accelerating demand from artificial intelligence infrastructure as the primary factor straining supply chains and preventing near-term recovery.

Intel CEO Lip-Bu Tan said the memory market is facing a prolonged crisis that is unlikely to ease for at least two more years. He noted that major industry players have indicated there are no clear signs of supply constraints easing before 2028. Tan added that AI-related consumption has exceeded expectations, prompting manufacturers to redirect memory production toward data centers rather than consumer electronics.

According to Tan, AI technologies require massive volumes of high-performance memory, pushing suppliers to prioritize cloud computing and AI projects over personal computers, smartphones, and household devices. These comments align with earlier statements from Micron executives, who also forecast continued tight supply conditions in the memory market in the coming years.

Tan further warned that the launch of new AI processor platforms—most notably Nvidia’s upcoming Rubin platform—could trigger another surge in demand, intensifying competition for memory supplies and adding further pressure on global markets.

As a result, prices for laptops, smartphones, and desktop components are expected to remain relatively high, with some manufacturers opting to release devices with lower memory specifications to manage costs. Consumers, in turn, may delay upgrade decisions or accept higher prices when purchasing new devices.

Intel emphasized that any meaningful improvement will depend on a significant expansion in production capacity or a slowdown in AI infrastructure demand—an outcome that appears unlikely amid accelerating global investment in artificial intelligence.