AMD Assurance and Price Outlook Amid RAM Crisis at CES 2026


At CES 2026, AMD's Corporate VP of the Client Channel Business, David McAfee, addressed concerns about the current RAM shortage and its impact on Radeon GPU availability and pricing. During an interview with TweakTown, McAfee reassured that AMD has established strong, long-term relationships with DRAM manufacturers, ensuring sufficient VRAM supply for their graphics cards.

Supply Chain Stability for Radeon GPUs

McAfee stated, "We've got deep partnerships with all of the DRAM manufacturers to meet our VRAM needs, ensuring we can continue building GPUs that gamers require." He expressed confidence that these relationships mitigate the risk of GPU shortages despite the ongoing RAM price increases, implying that AMD doesn't anticipate halting the production of any Radeon models, including the budget-friendly options.

Pricing Outlook and Market Strategy

While supply stability seems assured, the conversation shifted toward pricing. McAfee emphasized AMD’s commitment to offering high value, striving to deliver the best performance per dollar despite rising component costs:

"Our value proposition with Radeon is delivering more for end users, and we'll do everything possible to maintain that, even if component prices increase."

However, he acknowledged the likelihood of some price hikes:

"I'm not going to say prices across all components will stay flat. Inevitably, some adjustments may happen, but we're actively working to keep these increases as modest as possible."

Analyzing the RAM Crisis Impact on 2026

The overall outlook suggests that AMD is well-prepared in terms of supply, with efforts underway to limit the extent of price hikes for Radeon GPUs. Nonetheless, industry insiders recognize that some cost increases are inevitable amidst persistent RAM shortages that are expected to persist into 2027 or beyond, with forecasts indicating stabilization may be delayed until 2028.

Additional AMD executives echoed this sentiment. Rahul Tikoo, AMD's Senior VP, highlighted that consumers will face either higher prices or trade-offs—like purchasing less RAM or opting for more affordable CPUs—to manage increased costs. While not ideal, these adjustments represent the practical responses in the current market.

Prospects for Radeon Owners and the PC Market

For consumers seeking GPU upgrades, the news remains cautiously optimistic. Although some minor price increases are likely, they should be significantly lower than the astronomical hikes seen in RAM prices. AMD appears strategically positioned to navigate the volatile memory landscape effectively, focusing on maintaining product value for gamers.

Conclusion

While AMD assures that GPU supply chains are stable and committed to cost management, the inevitability of some price adjustments due to ongoing RAM shortages means gamers and PC builders should prepare for potentially higher costs in 2026. The full impact of the RAM crisis on the hardware market will unfold over the coming months and years, making it a crucial trend to watch.

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