Caroline Hyde

Bloomberg Equities reporter Ryan Veselik has been writing about exactly that.

The situation is right.

Severe, severe demand for memory, storage, and high bandwidth in the data center.

is making tight supply for everyone else shooting prices up but now we're seeing it in the equities those names that rely on it most what do we need to know hey good morning thanks for having me so we've been talking a lot about how strong the memory and storage companies have been especially this year and in recent months sandisk western digital seagate micron the flip side of that is those other customers for those companies like you said

HP, Dell to a certain extent, all these companies that may consume our hardware, they are seeing this in the form of higher memory prices, which is having an impact on their margins, on their cost of goods.

It's really become something of a major concern for these companies, HP being probably the most prominent example.

There's a lot of concern about what is this going to mean for their ability to have favorable prices for PCs?

What will raising prices do to demand?

What will keeping prices steady due to margins?

A lot of concerns there because memory is a pretty big component for building out PCs and smartphones, products like that.

What's interesting is we tie it back to TSMC's results.

And we hear from the CEO who sort of guided us to the idea that the memory chip price increases actually aren't going to affect, perhaps, Apple so much, their big customer, because they send high-end phones.

But really, it's an HP and a Dell story.

Is it because they've got less of a margin to be able to take a hit?

They have to pass it on to the consumer?

Yeah, absolutely.

So a lot of these companies have supply agreements that are probably going to last through the first half of 2026 or so.

After that, this equation is going to get a lot tougher.

A lot of the rise in these memory prices has occurred over the past several months.

So it is something people are worried about, especially as you look into the second half of 2026.