Samsung Warns Memory Shortage Will Worsen in 2027 and Last Into 2028

Samsung says new semiconductor supply will not be able to keep pace with demand any time soon, with fresh capacity unlikely to arrive before 2028. The company warned that this makes a recovery in memory supply difficult even as AI infrastructure keeps expanding.

According to Samsung, the rise of agentic AI is sharply increasing token consumption, which in turn is creating unprecedented demand for memory. The company said that demand is not limited to AI servers, but also reaches general-purpose computing servers.

Samsung also said AI developers that have struggled to secure cloud capacity from hyperscalers are increasingly turning to neocloud providers. That shift is pushing server manufacturers to buy memory in larger volumes, while several frontier AI developers have begun sharing medium- and long-term demand forecasts directly with Samsung.

The company added that meaningful new semiconductor fabrication capacity is unlikely to come online before 2028. Samsung noted that it takes more than three and a half years for a new semiconductor fabrication plant to move from construction to wafer production, which makes a quick recovery in supply unlikely.

Samsung's warning echoes the concerns of Intel CEO Lip-Bu Tan, who said the computer industry's memory-chip shortage is likely to persist for at least two years. For now, the message from both companies is the same: demand is still running ahead of supply.

How long do you think the AI-driven memory crunch can last before supply finally catches up?