Micron has warned that the ongoing memory crisis will worsen in 2027 and 2028, suggesting that the next generation of consoles, including the PlayStation 6 and Project Helix, could cost upwards of £1,000.
The US memory and storage company said during its latest earnings call, via The Register, that it has already sold most of the memory it will make in 2027, and customers will pay 'much higher prices' than in 2026. CEO Sanjay Mehrotra told investors that demand will exceed supply in 2027 and 2028, with 'greater tightness' in the industry compared to 2026.
Supply-demand gap
'In calendar 2027, as well as 2028, we see demand exceeding supply,' Mehrotra said. 'In fact, we see greater tightness in the industry in 2027 and in 2028 versus 2026. Overall, supply-demand environment is only getting tighter.' He added: 'We do not have line of sight to when supply and demand will return to balance.'
Micron is set to launch new factories in 2028 to boost supplies, but executives warned these facilities will not immediately solve the issue of availability and high prices.
Impact on consoles
The memory crisis has already jacked up prices for PlayStation 5, Xbox Series X/S, Nintendo Switch 2, and Steam Machines over the past year. Sony and Microsoft are expected to launch their new consoles in 2027, though neither has announced prices for the PlayStation 6 or Project Helix. With the cheapest PlayStation 5 priced at £519.99, analysts expect the next generation to cost significantly more.
Earlier this year, Pua Khein-Seng, CEO of Taiwanese electronics company Phison, warned the memory crisis could last for another decade. Xbox CEO Asha Sharma has suggested exploring different business models to make Project Helix more affordable. The expectation is that Project Helix and the PlayStation 6 could cost upwards of £1,000.
