MSI Warns 2026 Will Be the Most Challenging Year as RAM Shortage Hits Laptops
MSI’s leadership has framed 2026 as an exceptionally tough year, driven by persistent RAM shortages and GPU supply constraints. The company’s general manager, Huang Jinqing, said the year would be the "most challenging" since MSI’s founding, a bold forecast echoed on an earnings call and reported by United Daily News (via Tom’s Hardware).
Key implications for MSI include a 30% cutback in the production of low-end gaming notebooks, allowing the company to reallocate resources toward mid-range and higher-end systems. The strategy is straightforward: fewer devices sold at higher prices to maintain revenue in a constrained supply environment. Huang cited the RAM shortage and Nvidia GPU gaps—the latter with about a 20% shortfall in secured stock—as primary drivers behind the reduced output.
In response to shifting dynamics, MSI is also reconfiguring its motherboard lineup to prioritize DDR4-compatible models. It’s a striking reversal: DDR5, which once outpaced DDR4 by a factor of four in shipments, now trails DDR4, with the older standard shipping in roughly four times the volume of DDR5.
A glimmer of uncertainty remains around RAM pricing. Tech sites tracking European memory markets note a modest improvement: DDR5 prices in Germany declined by around 7% from February to March. While any downward movement is welcome, DDR5 remains significantly more expensive than a year ago—roughly four times the September 2025 price, according to 3D Center’s watchdog data referenced by VideoCardz.
The broader memory market remains fragile. MSI acknowledges that the current softness, together with GPU supply hassles, is complicating production decisions for PC makers and system integrators, including major laptop brands like HP. Despite the dips in DDR5 pricing, buyers are not exactly flocking to higher-priced components, and the market could still see limited demand until inventories and pricing stabilize.
MSI’s leadership sets a pessimistic tone for 2026: Huang expects a 10% to 20% decline in total PC sales for the year, a view that aligns with some analyst projections of about a 10% drop. The budget segment could feel the brunt of this downturn, even as MSI shifts its focus to more premium offerings amid tighter supply.
In summary, while there are cautious signs of slowdown relief in European RAM pricing, the macro headwinds—RAM scarcity and GPU supply constraints—are shaping a difficult path ahead for MSI and the broader PC ecosystem. Analysts and manufacturers alike face a challenging balance between higher prices, constrained supply, and consumer demand.
By Darren (TechRadar)