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7x increase in memory costs fueling price increases in ISP-provided routers, gateways, and set-top boxes — home fiber rollouts may slow, and installations could become more expensive

Source

Tom's Hardware

Published

TL;DR

AI Generated

The surge in DRAM pricing is impacting the production costs of ISP-provided routers, gateways, and set-top boxes, potentially leading to price increases for consumers. Memory costs have risen sevenfold, making up a significant portion of the equipment's bill of materials. This trend is expected to continue due to ongoing supply chain issues, potentially affecting the rollout of home fiber connections and increasing installation expenses. Major tech companies are acknowledging the memory shortage's impact on pricing and supply chain management, with adjustments expected to reflect rising costs.