Data center operators are facing rising cost pressures in 2026 as server CPU shortages add to an already severe memory crunch, pushing overall system prices higher even as demand remains strong.
As per a report, server CPUs are now experiencing supply constraints that could drive price increases of 11–15 percent.
The shortages stem largely from silicon manufacturing challenges, as chipmakers struggle to balance production across multiple advanced process nodes such as 3nm and 5nm.
Shifting volumes between nodes is complex and slow, while lower-than-expected yields have further tightened availability.
These CPU issues compound an acute memory shortage.
DRAM prices are expected to nearly double this quarter, while NAND flash prices could rise by more than 30 percent.
Memory supply has been squeezed as manufacturers prioritize high-bandwidth memory (HBM), which delivers higher margins and is in heavy demand for AI accelerators.
Experts caution that limited memory availability could disrupt server manufacturing timelines and delay data center projects.
Although hyperscale cloud providers may be partially insulated through long-term contracts, smaller buyers are likely to face steeper cost increases.
Despite supply chain headwinds, subject matter experts project, 12 percent growth in global server shipments this year, driven by a broad refresh cycle.
AI infrastructure remains a key growth engine, with more than 71,000 high-density AI racks expected to ship in 2026 and even more powerful deployments on the horizon.
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