RAM now represents 35 percent of bill of materials for HP PCs

4 hours ago

HP Inc. CFO Karen Parkhill reports RAM costs have increased from 15-18% to 35% of HP PCs' bill of materials in fiscal Q4 2025.
HP expects the total addressable market for its Personal Systems business to decline by double digits in 2026 due to higher prices.
Memory costs have risen by roughly 100% sequentially, with further increases forecasted for fiscal year 2026.
HP anticipates the RAM shortage will most severely impact its financials in the second half of fiscal year 2026.
Interim CEO Bruce Broussard cites rising DRAM and NAND prices as key drivers of increased input costs, expecting volatility through 2026 and likely into 2027.
A third of HP's Personal Systems margin comes from non-RAM categories like IT services and peripherals.
HP has raised PC prices to offset higher RAM costs and maintain profitability.

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