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DRAM Shortage Will Last Another 10 Years, Warns ADATA Chairman

DRAM will remain in dire shortage for another decade, warns ADATA Chairman Chen Li-bai, who says the AI bubble is far from bursting and that supply will not stabilize until after 2030. Chen's statement counters recent market concerns triggered by a TSMC stock decline despite record earnings, asserting that demand for DRAM, NAND Flash, and computing power will outpace supply for years to come.

read1 min views4 publishedJul 21, 2026

DRAM is currently one of the few "commodities" in the computing world that is so supply-constrained it might take another 10 years for the supply chain to stabilize. According to ADATA Chairman Chen Li-bai, the AI bubble is far from bursting, as the demand for DRAM is outpacing supply so significantly that even with new manufacturing capacity expansions from memory makers worldwide, DRAM will remain in dire shortage for another decade. Chen Li-bai's statement was prompted by a recent decline in TSMC's stock, which fell despite posting record earnings. While some suggested this might indicate a burst in the AI hype, the ADATA chairman issued a contrary statement, suggesting we are another decade away from seeing the bubble pop.

According to Chen Li-bai, the industry can only begin discussing the potential burst of the AI bubble after 2030. After that, preliminary estimations could be made about whether the demand for more DRAM, more NAND Flash, and more computing power will be sustained until 2040 or 2050. The current demand growth is causing the entire vertical of memory, storage, computing, power infrastructure, and other areas to grow exponentially. The overall trend suggests that demand will continue to outpace supply for years to come.

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