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Lenovo and HP secure memory supply via preliminary contracts with Samsung, SK Hynix, and Micron
Monday, December 22, 2025 at 12:00 AM
Major PC manufacturers including Lenovo and HP are visiting Samsung Electronics, SK Hynix, and Micron to sign preliminary supply contracts to secure memory volume for 2025. Rising memory prices, particularly DDR5, are expected to increase bill of materials costs and potentially lead to a 30% price hike for premium laptops or delays in product launches.
Context
Lenovo and HP Inc. have moved to secure critical memory supply through preliminary contracts with Samsung Electronics, SK Hynix, and Micron to combat an escalating global shortage. This "all-out war" for components aims to lock in volume for 2025 hardware as manufacturers prioritize High Bandwidth Memory (HBM) for AI data centers, leaving standard PC DRAM scarce. With DDR5 contract prices already up 123% since early this year, vendors are prioritizing supply stability over cost to support the transition to AI-enabled PCs and the upcoming end of Windows 10 support.
The shortage is projected to persist until 2027, potentially driving memory costs to 23% of a high-end laptop’s total bill of materials. Analysts forecast an additional 45% price hike by Q4 2025, forcing retail price increases of up to 30% for premium lineups. While AI adoption remains a primary catalyst, IDC warns that these rising costs could suppress global shipments by 9% as brands overhaul portfolios and sales strategies to mitigate extreme component volatility.
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