The AI boom is creating a severe memory chip shortage: Dynamic random-access memory (DRAM) inventory levels are down -80% YoY, to just 3 weeks worth of supply. This is the type of memory particularly used in computers and phones. By comparison, DRAM suppliers held ~9.5 weeks of inventory in July. The shortage has spread into nearly all memory types, spanning consumer flash chips in USB drives and smartphones to advanced high-bandwidth memory (HBM) powering AI data centers. Skyrocketing demand from AI infrastructure and consumer electronics is overwhelming global supply. SK Hynix, the world’s largest memory chip supplier, expects the shortage to persist until late 2027. A memory chip supply crisis is unfolding.(The Kobeissi Letter)