Shoppers could face higher prices for phones, laptops and other gadgets next year, manufacturers and analysts warn, as AI data centres hoover up memory chips used in consumer electronics.

The world's biggest tech companies are ploughing head-spinningly huge sums into building the hardware that powers artificial intelligence tools like ChatGPT.

Their insatiable demand is snarling up a supply chain kept tight on purpose by chipmakers who are keen to avoid price drops that dent profits, experts say.

In 2026, supply chain pressure for memory chips "will be far greater than this year", Lu Weibing, president of Chinese electronics giant Xiaomi, said this week.

"Everyone will likely observe that retail prices for products will see a significant increase," he told an earnings call.

William Ke

See Full Page